Lazada and Shopee agreed on a code of conduct with some of the biggest multinational brands that seeks to crack down on fake goods on the online. The deal was announced on Monday, two days before the "3-3" monthly sale.
Alcohol and tobacco top the list of counterfeit products sold online. Fake or subpar face masks, vitamins, and pharmaceutical goods were also sold. Yes, the crackdown also includes so-called "Class A" products, officials said.
Unilever Philippines, Inc., GlaxoSmithKline Philippines, Inc., Globe Telecom, Inc., Castrol Ltd., and Solar Pictures signed the memorandum on behalf of e-commerce merchants.
Other signtories include the Intellectual Property Association of the Philippines, American Chamber of Commerce of the Philippines, Philippine Retailers Association, and the British Chamber of Commerce in the Philippines.
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IPO Philippines, the country's trademark watchdog, received 121 counterfeit complaints in 2020, that's more than 2016 to 2019 combined, said IPOPHL Director General Rowel Barba.
Under the code of conduct, intellectual property rights owners can use a Notice and Takedown system, which will require a response from e-commerce platforms. They will also monitor ads or listings, keeping eye out for keywords such as "Class A" or similar tags.
As long as there is a court order or a request from authorities, Lazada and Shopee can disclose relevant information such as name and contact details of a seller. This should observe data privacy laws, according to the code of conduct.
Lazada and Shopee will verify merchant identity though government IDs, which can be made an onboarding requirement.
Offenders can be suspended temporarily or permanently from the platform, and their information may be shared to rights owners.
