EPA appeals ruling shielding eBay for eco-harmful listings

By Ellie Borst | 12/04/2024 01:31 PM EST

The Biden administration wants a second opinion on whether the e-commerce giant should be liable for environmental law violations.

A sign is posted in front of eBay headquarters.

A company sign is posted in front of eBay headquarters on Jan. 24 in San Jose, California. Justin Sullivan/Getty Images

The Biden administration is looking to overturn a federal district court’s opinion that shielded eBay from liability over products in violation of key environmental laws listed by third-party sellers.

The Justice Department, acting on EPA’s behalf, appealed to the 2nd U.S. Circuit Court of Appeals a decision that said the online retailer is not responsible for ensuring products from independent sellers meet the standards set by federal air, pesticides and toxics laws.

Judge Orelia Merchant, a Biden appointee out of the U.S. District Court for the Eastern District of New York, decided in September that eBay is a computer service, not a seller or distributor, and is therefore protected from liability.

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The original complaint, filed in September 2023, alleged more than 370,000 listings violated either the Clean Air Act; Federal Insecticide, Fungicide and Rodenticide Act; or Toxic Substances Control Act, potentially worth billions of dollars in fines.

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