Latest round to Alibaba in legal dispute with luxury group

A US judge has dismissed part of a lawsuit brought by Kering SA against Alibaba over counterfeit product listings on its e-commerce sites.

The judge in the case ruled yesterday that French group Kering - which owns Gucci, Yves Saint Laurent, Balenciaga, Brioni, Alexander McQueen and many others - had "failed to allege the existence of a conspiracy," under federal racketeering law, according to a Reuters report.

The verdict means that claims Chinese e-tailer Alibaba colluded with 14 other companies in the sale of counterfeit goods have not been upheld, although other allegations regarding trademark infringement remain outstanding in the lawsuit (Gucci America, Inc. et al v. Alibaba Group Holding Ltd.et al [15-cv-03784]).

Last August, granted Kering's Gucci America unit an immediate order barring sales of goods on Alibaba by numerous vendors who sell through Alibaba's network of web stores.

The company also defected from the International Anti-Counterfeit Coalition (IACC) after the organisation welcomed Alibaba to its membership, part of a brand-owner revolt that eventually resulting in the Chinese company's membership being rescinded.

Alibaba said it was pleased with the outcome and reiterated that it has taken steps to curb fake listings on its platforms.

Most recently the company announced a global strategic partnership with insurance group AXA to provide additional coverage for goods traded on its platform, and it also formed an Intellectual Property (IP) Joint-Force System, giving brand owners access to a dedicated online portal and individual account manager.