Amazon Alleges Social Media Influencer Linked to Counterfeit Sites for Kickbacks

Russell of Oldsmar, Florida, “on information and belief,” is a social media influencer on various websites and apps who promotes, advertises and facilitates the sale of infringing luxury goods, said the complaint. Russell used her social media accounts to direct her followers to links for product listing pages in the Amazon Store “that she indicated were for counterfeit and/or infringing Prada, Chanel, Valentino Garavani, Dior, Louis Vuitton and other luxury brand products, even though the listing pages showed non-branded, non-infringing products,” alleges the complaint.

Bad actors operating Amazon selling accounts “disguised the product listing pages to conceal the products’ counterfeit and/or infringing nature in order to avoid detection by Amazon or brand owners,” the complaint alleged. When customers ordered the products, “the bad actors shipped counterfeit and/or infringing luxury products -- just as Russell had advertised to her followers,” it said. Russell allegedly received a commission from the counterfeit sales when her social media followers clicked on a link in her social media posts and bought the products from the bad actors, it said.

Russell “knowingly assisted” in the sale of infringing products by the trafficker defendants and other bad actors for her personal profit “and in a coordinated attempt to obfuscate the infringement and avoid detection by Amazon and brands,” the complaint said. Defendants “infringed and misused the IP of various brands; willfully deceived and harmed Amazon and its customers; compromised the integrity of the Amazon Store; and undermined the trust that customers place in Amazon,” it said.

The trafficker defendants are individuals and entities, known and unknown, who “conspired and operated in concert with each other to engage in the counterfeiting and infringement scheme,” alleged the complaint. The trafficker defendants operated, controlled and/or were responsible for the infringing selling accounts; they participated in or had the ability to supervise, direct and control the wrongful conduct alleged; and they derived a direct financial benefit from the conduct, it said. Trafficker defendants are subject to liability for their conduct directly and under principles of secondary liability, including respondent superior, vicarious liability and/or contributory infringement, it said.

Defendant Does 1-10 are individuals or entities working in concert with each other and the named defendants to “knowingly and willfully manufacture, import, advertise, market, offer, distribute, and sell counterfeit and/or infringing products in the Amazon Store,” said the complaint. Amazon doesn’t know the Does' identities at this time. Between January 2016 and June 2022, the trafficker defendants operated nine selling accounts through which they sought to advertise, market, offer, distribute, and sell counterfeit and/or infringing Prada, Chanel, Valentino Garavani, Dior and Louis Vuitton products, it said.

Russell used her social media accounts, on platforms such as TikTok and Instagram, to link her followers to product listing pages in the Amazon Store, making it clear the products were counterfeit. In the comments to the post, Russell’s followers openly discussed her “hidden links” scheme and “that products purchased through those links were branded, despite the obfuscation the bad actors were using in the product listing pages,” the complaint said.

Russell’s posts “leave no doubt that her promotion of counterfeit and/or infringing products was knowing, deliberate, and willful,” the complaint said. In a July 6, 2022, TikTok post, she indicated she earned over $24,000 in commissions over a one-month period, it said.

Amazon claims false designation of origin and false advertising, violation of the Washington Consumer Protection Act and breach of contract. It seeks an order enjoining defendants from selling products in Amazon’s stores or to its affiliates; attempting to open any Amazon vendor, seller or associate accounts; promoting or selling any imitation of Amazon’s brands or trademarks; and assisting or abetting any other person in performing those activities.

Amazon also asked the court to enter orders disabling Russell’s social media accounts that promote the sale of counterfeit goods, impounding and destroying all infringing goods, and requiring trafficker defendants to provide a complete accounting of all amounts due to Amazon. It seeks damages, the maximum amount of prejudgment interest and attorneys’ fees and costs.