German make-up and perfume brand Coty wants to stop one of its retailers from selling its goods on online marketplaces such as Amazon.
The company has taken their case to one of Europe’s top courts and the case could determine whether luxury good companies will be able to ban online sales.
The argument is that owners of luxury brands should have a right in choosing who distributes their products. This is understable as it protects their image and exclusivity.
I’m not sure if I would appreciate Louis Vuitton if I were to see it being sold on Amazon.
The Court of Justice of the European Union (ECJ) will consider whether protection of a luxury image is a legitimate reason for a selective distribution system.
This case could lead to a ruling that would ban sites like Amazon and eBay from selling luxury goods.
Matt Jones, a solicitor at law firm EIP told BBC, “Luxury brands do not want their stuff sold on platforms that also sell fake goods and cheap alternatives.”