adSage Wants Counterfeiting Case Thrown Out

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The ad technology company adSage is asking a judge to dismiss a lawsuit accusing it of enabling a counterfeiter to sell fake football jerseys on Facebook.

The company argues in court papers filed last week that it isn't responsible for how third parties use software tools it develops.

"adSage simply created a software product that companies and individuals can download and use -- without adSage’s participation or assistance -- to place their own advertisements on Google, Facebook, or other Web sites," the tech company argues in papers submitted to the U.S. District Court in New Mexico.

adSage filed the papers in response to a false advertising lawsuit by Krystal's NFL Shoppe, which sells official National Football League apparel. Krystal's alleges that Facebook runs ads for official jerseys -- which can cost around $100 -- on the same pages as ads for $22 knockoffs.

Krystal's sued Facebook, as well as adSage and ecommerce company DHGate.com, in October. But adSage responds that Krystal's didn't make out "any plausible connection between adSage and claimed counterfeiters."

The company adds: "The complaint does not make specific factual allegations showing adSage was involved in or responsible for the wrongful conduct ... Nowhere does it plead adSage created any of the specific ads featured in the complaint, or plead specific facts giving reason to believe adSage is actually connected to the alleged counterfeiters."

adSage adds that Krystal's is attempting "to infer a connection between adSage and alleged counterfeiters from general facts and coincidences," such as that adSage uses the same Web hosting company as some counterfeit sites.

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2 comments on "adSage Wants Counterfeiting Case Thrown Out".

1. Paula Lynn from Who Else Unlimited
   

   commented on: January 7, 2013 at 9:45 a.m.
   So when flea markets sell space and see that a vendor is selling knock offs that they know has done this before, are they responsible to keep them out of the marketplace or call the police ?
2. Eric Feinberg from Fake
   

   commented on: January 8, 2013 at 2:30 p.m.
   The underlying issue here is that Sponsored Ads for Chinese Counterfeiters Are Appearing on Facebook. Why is this happening in the first place and why is nothing being done about this.

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