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Etsy advertises as a marketplace for hand-crafters, but promotes resellers

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handcrafter

Junior Member
What is the name of your state (only U.S. law)? Oregon

Etsy has long billed itself as the place for hand-made goods, supplies for crafting, and vintage items. For a long while now they've had a problem with resellers, people importing goods for resell or buying bulk goods and reselling them. This is against the TOS, and they've claimed to be working diligently at weeding these resellers out. However the cake was taken and smashed yesterday when they promoted, right on their main page, in an interview, an importer and reseller based in California who buys furniture made in Bali to sell in the US. http://www.etsy.com/blog/en/2012/featured-seller-ecologica-malibu/ The woman's own personal webpage actually proves that. http://www.ecologicafurniture.com/blog/refutation-of-spurious-comments-placed/

Allowing resellers, and indeed promoting them, in a venue advertised to sellers as a place where mass-produced goods and reselling is not allowed does hurt sellers who are paying just to list items (plus a fee in things that sell). This company is falsely advertising it's purpose and intent, and tens of thousands of sellers have been misled and have paid money for the privilege of selling on a venue dedicated to hand-crafters when the reality is they were tossed in the reselling pit. While Etsy has been given leeway for the resellers before now, their blatant promotion of one is strong evidence that Etsy doesn't really plan to do anything to deliver the marketplace promised to us. (Buyers have also been angry to find out that the "one of a kind" item they bought was actually mass-produced.)

What I want to know is if there is a way to force Etsy to return to sellers the listing fees the sellers paid while being misled and lied to, millions of dollars Etsy has gladly taken while doing nothing about resellers, and now while actually promoting resellers (yet the TOS still forbids it). Let me assure you, many sellers were happy to pay the fees when it was believed blatant reselling wouldn't be allowed. But many many sellers now feel duped out of their money but being delivered a venue full of resellers.

Is this the sort of situation in which a class action would be a good idea? How does one go about starting one?

I'm not a sue-happy person, but I am living that Etsy has made millions off of selling fees alone while refusing to deliver the promised venue that is "the place for all things handmade." I'm also only in it about a dollar right now, but over tens of thousands of sellers, it adds up to serious money this company has not earned because they've refused to deliver what was promised and is still advertised.

Thank you for any assistance or advice.
 


FlyingRon

Senior Member
Even if I believed EVERY ONE of your points (which you are wrong about as well), you don't even have the beginning of a claim here.
 

handcrafter

Junior Member
So a website can bill itself as a place for handmade crafts, vintage items, and craft supplies only, have a TOS that specifically forbids mass-produced stuff and reselling, accept money from tens of thousands of sellers believing they'll be selling on a site dedicated to hand-crafters, while ignoring, and eventually promoting, a big-time reseller, all while continuing to claim it's not allowed?

How do you think it's not a bait and switch? How do you think this is legal? Also tell me how I'm wrong. I can back up every single one of my points with evidence from etsy's own website.
 

divona2000

Senior Member
So a website can bill itself as a place for handmade crafts...have a TOS that specifically forbids mass-produced stuff and reselling...I can back up every single one of my points with evidence from etsy's own website.
Also from Etsy's own website:
"Most shops belong to individuals, but a small group can run an Etsy shop as a collective."
"Handmade items must be created by the seller (or a member of the collective) operating the Etsy shop."

Seems like Etsy does accept 'mass-produced' items.
 

I'mTheFather

Senior Member
Also from Etsy's own website:
"Most shops belong to individuals, but a small group can run an Etsy shop as a collective."
"Handmade items must be created by the seller (or a member of the collective) operating the Etsy shop."

Seems like Etsy does accept 'mass-produced' items.

It appears that the seller in question is a reseller/distributor. However, Etsy has posted on their blog that they are currently investigating that member. Once they remove her shop, there won't be any basis for a successful suit.
 

confusedetsian

Junior Member
Also from Etsy's own website:
"Most shops belong to individuals, but a small group can run an Etsy shop as a collective."
"Handmade items must be created by the seller (or a member of the collective) operating the Etsy shop."

Seems like Etsy does accept 'mass-produced' items.



They added this to the TOU's after the fact. They caught quite a bit of heat for promoting the mentioned seller so they added that to the TOU's.
 

Zigner

Senior Member, Non-Attorney
Also from Etsy's own website:
"Most shops belong to individuals, but a small group can run an Etsy shop as a collective."
"Handmade items must be created by the seller (or a member of the collective) operating the Etsy shop."

Seems like Etsy does accept 'mass-produced' items.



They added this to the TOU's after the fact. They caught quite a bit of heat for promoting the mentioned seller so they added that to the TOU's.
This thread is long dead. It is considered bad form to necropost.
 

Antigone*

Senior Member
Also from Etsy's own website:
"Most shops belong to individuals, but a small group can run an Etsy shop as a collective."
"Handmade items must be created by the seller (or a member of the collective) operating the Etsy shop."

Seems like Etsy does accept 'mass-produced' items.



They added this to the TOU's after the fact. They caught quite a bit of heat for promoting the mentioned seller so they added that to the TOU's.
And you are going to catch quite a bit of heat for necroposting.:cool:
 

LdiJ

Senior Member
So a website can bill itself as a place for handmade crafts, vintage items, and craft supplies only, have a TOS that specifically forbids mass-produced stuff and reselling, accept money from tens of thousands of sellers believing they'll be selling on a site dedicated to hand-crafters, while ignoring, and eventually promoting, a big-time reseller, all while continuing to claim it's not allowed?

How do you think it's not a bait and switch? How do you think this is legal? Also tell me how I'm wrong. I can back up every single one of my points with evidence from etsy's own website.
Have you heard of the term "cottage industry". Basically, that term refers to small groups of people that work together to make handmade products. Those involved in a cottage industry might be all of the residents of a small village somewhere, or a club of people who share an interest in a craft, or farmer's wives banding together to supplement their family's incomes maybe making cheeses or tatting lace.

All of the products are still very much handmade...still very much one of a kind...and still not mass produced.

You are making the assumption that the products discussed on their website that have you so upset are mass produced and not unique...when what you really might be talking about is a cottage industry.
 

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