The maker of the Snuggie blanket and other "As Seen on TV" products filed a lawsuit Monday against Amazon.com for trademark infringement, according to Reuters.
Allstar Marketing Group LLC, Ideavillage Products Corp and Ontel Products Corp, which all sell their products through "As Seen on TV" advertising claim in the lawsuit that the internet retailer allows an "astronomical" number of counterfeit products to be sold on its site.
Amazon has taken no action to prevent the sale of such counterfeit products despite having the knowledge, opportunity and means to do so.
All three companies claim they have seen a decline in profits because Amazon allows these vendors to sell counterfeit products at "impossibly low prices," Reuters reports.
This lawsuit comes just three weeks after Amazon filed its own lawsuit against vendors it claims were selling counterfeit items on the website. The company's policy said that vendors who sell counterfeit products may have their privileges revoked.
Amazon's spokesman Erik Fairleigh declined Reuter's request for comment because of the pending litigation.
The plaintiffs in the case are seeking millions of dollars, including compensation for lost profits and punitive damages. The plaintiff's lawyer also did not respond to Reuters request for comment.
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