L’Oreal in legal proceedings with eBay

L’Oreal has begun legal proceedings with the online retailer eBay.

The French company launched a trademark infringement case in London’s high court in an attempt to protect its brand and distribution network.

The auction website eBay is accused of failing to police counterfeit goods which contain the firm’s trademark and branding. However, eBay denies the claims, stating it is simply a platform for trading.

Last year, L’Oreal lost a case against the online retailer in Belgium but other companies have won similar lawsuits, such as French luxury goods business LVMH.

The cosmetics company is in legal discussions with eBay in the UK, France, Belgium, Germany and Spain.

Last month, L’Oreal’s chief executive officer Jean-Paul Agon asserted the firm had achieved good financial results for 2008 considering the economic downturn, adding the industry often showed resilience at times of crisis.

He concluded that he believes the business will do well over the next 12 months and it is likely to emerge stronger than ever before at the end of the year.

The company employs 3,095 people in around 60 countries.