Amazon is keenly interested in protecting the intellectual property rights of its third-party sellers because the company depends upon them for their long-term success. In a recent
newsletter to shareholders, Amazon CEO Jeff Bezos explained that third-party sellers currently make up a majority of the site’s gross merchandise sales, with the share of revenue from third-party sellers having grown from just 3 percent in 1999 to 58 percent today.
However, Amazon has been struggling to develop and implement new systems to protect its sellers from counterfeits and IP infringement. Amazon is in the process of implementing four big changes:
- Federal trademark registration requirements are changing to qualify for Amazon Brand Registry, the company’s program to help brands protect their product listings;
- Trademark application requirements are changing for foreign domiciled applicants outside of the U.S.;
- A new dispute resolution system is being implemented to resolve future seller IP disputes;
- Finally, Amazon is launching its Project Zero program that allows qualifying merchants to directly remove infringing listings themselves.
It is critical that Amazon sellers adapt to these significant changes so they don’t get caught off guard by the competition.
Changes in Amazon Brand Registry
Most Amazon sellers are aware of Amazon Brand Registry (ABR), and how critical it is to obtain and maintain this qualification. ABR allows sellers to have more control over their product listings and ensures that information associated with their brand is accurate.
A seller who has ABR is free to edit the title and description of their products, as well as upload additional images, including video, among other options. Those who have ABR also have access to powerful search and report tools, as well as the benefit of certain automatic infringement protections. You can apply for Amazon Brand Registry
here.
Amazon recently changed its rules regarding qualification for ABR. While the company once accepted a single trademark registration in any country, it now requires an Amazon seller to register its trademark in each country where it wants to obtain ABR.
Consequently, to qualify for ABR in the U.S., a seller is required to register its trademark on the Principle Register of the U.S. Patent and Trademark Office (USPTO). The mark must be limited to a text or image mark, such as a logo. Other forms of trademark registration are excluded.
Trademark registration in a foreign country is no longer acceptable. Sellers that have foreign registrations will need to register their trademarks with the USPTO as soon as possible, as it can takes eight to 12 months to obtain one.
Furthermore, they may need to research their trademark to make sure it doesn’t conflict with prior U.S. trademark registrations, or with other common law trademark rights in the U.S. Common law trademark rights arise when a company uses a trademark in commerce in the U.S. without filing to register the trademark with the USPTO.
Since this process takes time, and potentially could expose previously hidden trademark conflicts, it is critical that sellers start the trademark application process as soon as possible so their qualification for ABR is not lost.
Foreign Domiciled Sellers Filing U.S. Trademark Applictions
Until now, all trademark applicants have been able to file trademark applications themselves to reduce costs. Recently, however, the USPTO has been struggling with the amount of fraud perpetrated by some foreign applicants.
To combat this growing problem, the USPTO announced that all foreign domiciles (applicants residing outside of the U.S.) are required to use a U.S. attorney in order to file a trademark application with the USPTO. This change
will go into effect Aug. 3, 2019. Therefore, Amazon sellers wishing to obtain ABR must work with a U.S. attorney to obtain a U.S. trademark.
Foreign domiciled Amazon sellers will want to establish a relationship with a reputable U.S. licensed attorney to file and prosecute their applications with the USPTO to avoid problems that may delay their trademark registrations and interfere with qualification for ABR.
Patent Disputes on Amazon
Amazon long has struggled with IP disputes on its platform. On one hand, it wants to protect its valuable third-party sellers from being knocked off by counterfeiters. On the other hand, Amazon is not a courtroom and does not have the ability to adjudicate often complex patent and trademark disputes between competing sellers.
To resolve this problem and combat patent infringement, Amazon has implemented a new program that enables arbitration of patent disputes through an Amazon appointed patent attorney. The system involves the following steps:
- Once a patent holder has filed to take down an infringing Amazon listing, the alleged infringing seller is notified and has 21 days to contest the accusation. To challenge the allegation, the seller must submit US$4,000 to a neutral Amazon selected patent attorney. However, if the seller does not challenge the accusation, the listing will be removed.
- Assuming the seller does in fact challenge the allegation of infringement, the patent owner also must submit $4,000 to proceed with the dispute resolution.
- The Amazon appointed patent attorney then will review all necessary information (usually over a period of two months) and will reach a decision soon after. Amazon either will leave or remove the listing depending on the practitioner’s decision. The “winner” of this evaluation will be refunded the $4,000 payment while the “loser” will forfeit the payment to cover the costs of the dispute resolution.
These reforms should be a welcome relief for all patent holders selling on Amazon, and they should help new product developers successfully fight the flood of knockoff products, and maintain healthy profit margins on their Amazon products.
These changes serve to increase the importance of patents within the critical Amazon marketplace. Most experts expect the rapid growth in new patent filings by Amazon sellers to continue to increase as the marketplace becomes even more competitive.
Furthermore, as the offensive use of patents increases, defensive patent filings also will increase as established sellers seek to insulate themselves future patent infringement claims.
Amazon’s Project Zero
Amazon also has launched
Project Zero, a new program that allows an Amazon seller that has qualified for Amazon Brand Registry to provide identifying information to indicate ownership of IP such as a U.S. registered trademark. The Project Zero system then provides powerful tools for identifying and removing infringing listings.
Project Zero first provides powerful automated software tools that automatically seek and remove infringing listings. The system also allows qualified sellers to remove counterfeit listings directly with a self-service tool, rather than request a takedown from Amazon.
Finally, Project Zero enables sellers to apply a unique code to each manufactured unit so that counterfeit products may be detected and removed. Known as “product serialization,” this provides a powerful tool to prevent the sale of counterfeit goods on Amazon.
While Project Zero is currently an invitation-only program, it is possible to sign up for a waitlist at the Project Zero website
here.
Infringement on Other Sites
Since small business sales online have increased so dramatically in the last five years, other sites have had to formulate anti-infringement systems like Amazon’s. For example, Alibaba.com, which enables sellers to purchase products directly from Chinese manufacturers, will remove listings of counterfeit goods and root out repeat offenders.
According to Alibaba Group
letters to shareholders, nearly all IP-related takedown requests received from brands and rights holders are handled within 24 hours as new data-modeling allows more effective and faster processing of claims. Eighty-three percent of requests have resulted in successful takedowns.
Other sites dealing with an influx of IP-related claims include Shopify and eBay. Both now offer simplified forms to help users easily report counterfeits and receive expedited responses.
Final Thoughts
Intellectual property has become essential in this hypercompetitive global economy. New products should be launched only after trademarks have been researched and filed, and after some form of patent protection is established for design or unique utility features of the new product.
Sellers then will have the necessary tools to protect new products from copying, counterfeiting and other forms of IP infringement. These protections will allow sellers to maintain healthy margins on their new products, and profit from their design and development efforts. Fortunately, Amazon has provided important new tools to assist sellers in their efforts.
New (Current-Year) Updates, Best Practices, and Considerations
### Amazon Brand Registry (ABR): keep eligibility “audit-ready”
Amazon continues to place heavy emphasis on brand authenticity and accurate brand ownership. Even where the core requirement remains a **registered trademark in the country where you seek Brand Registry**, sellers should treat ABR eligibility as something that can be *re-verified* at any time. Best practices include:
– **Maintain clean, consistent brand identity data** across your trademark record, Brand Registry profile, Seller Central account information, packaging, and product detail pages (same spelling, punctuation, and owner entity where possible).
– **Use the correct brand owner** (the legal owner of the trademark) in your Amazon Brand Registry enrollment. If you operate through distributors or licensees, ensure documentation and roles are properly structured.
– **Plan for lead times**: trademark registration timelines can still be long, so sellers should treat trademark filing and prosecution as a launch-critical path item rather than an afterthought.
### USPTO foreign-domiciled applicant rule remains a key compliance point
The requirement that **foreign-domiciled USPTO applicants must use a U.S.-licensed attorney** remains an important operational reality for non-U.S. sellers. Practically, this means:
– Build an ongoing relationship with qualified U.S. counsel rather than using one-off, lowest-cost filing services that may create avoidable prosecution problems.
– Treat trademark filings submitted through questionable channels as a real risk factor (delays, refusals, or future challenges), which can cascade into ABR eligibility issues.
### Stronger brand protection tools have made proactive enforcement more effective
Amazon’s enforcement ecosystem has continued to evolve, and sellers generally do best when they shift from reactive takedowns to proactive prevention and repeatable processes:
– **Enroll and actively use Brand Registry tools** (search, report, and analytics features). Establish a cadence (e.g., weekly) to look for copycats, listing edits, and suspected counterfeits.
– **Standardize evidence collection**: keep organized records of title/ASIN, screenshots, order IDs for test buys, packaging photos, and trademark/patent documentation so that claims are complete and consistent.
– **Escalation playbooks**: define which issues you handle via Brand Registry reports, which require test-buys, and which warrant formal legal escalation.
### Patents and dispute resolution: treat Amazon as one track, not the whole strategy
Amazon’s patent-related dispute options can help in certain situations, but they are not a substitute for a broader enforcement strategy. Best practices:
– **File defensively as well as offensively** (utility and/or design patents where appropriate) to reduce vulnerability to competitor patent assertions.
– **Evaluate ROI before initiating disputes**: costs, timing, and business impact should be weighed against alternatives such as redesigns, negotiated resolutions, or litigation in appropriate venues when necessary.
– **Avoid overreliance on platform adjudication**: Amazon tools can be fast, but complex disputes still often require traditional legal pathways.
### Project Zero and anti-counterfeit measures: prevention beats takedowns
Where available, anti-counterfeit tooling is most effective when combined with operational controls:
– **Use serialization or transparency-style labeling approaches** (when your program access allows) for high-risk SKUs, high-margin products, or items with frequent copycat activity.
– **Control your supply chain footprint**: tighten authorized manufacturer lists, reduce factory leakage risk, and document chain-of-custody for inventory.
– **Monitor variation abuse and listing hijacks**: many “counterfeit” problems manifest as listing control issues (unauthorized sellers, commingled inventory risks, or listing edits), so governance matters as much as enforcement.
### Cross-platform enforcement is now standard practice
Because infringement rarely stays on one marketplace, sellers should assume enforcement must be multi-channel:
– Maintain a **central IP enforcement log** across Amazon, eBay, Shopify stores, social platforms, and major B2B sourcing sites.
– Use consistent **brand assets and notices** (trademark registration details, authorized seller statements, image ownership claims) so your enforcement posture is coherent everywhere.
– Consider **watch services** (trademark watching, image search monitoring, marketplace monitoring) when the brand reaches a size where manual monitoring no longer scales.
### Practical roadmap (evergreen, but especially relevant now)
To stay resilient as Amazon’s systems continue to tighten around authenticity and brand ownership:
1. **File and maintain trademarks early** in each target market and keep ownership/entity records clean.
2. **Secure patents where they meaningfully protect margin**, and document product differentiation.
3. **Enroll in ABR and use its tools continuously**, not only when a problem appears.
4. **Implement anti-counterfeit operations** (serialization/labeling where possible, authorized seller policies, supply-chain controls).
5. **Prepare an enforcement playbook** that scales across channels and includes evidence standards and escalation thresholds.
This keeps the rest of the guidance evergreen while reflecting current operational realities: Amazon’s protection tools are more capable than they used to be, but they are most effective for sellers who treat IP protection as an ongoing system—not a one-time registration or occasional takedown.
Eric Karich is a registered patent and trademark attorney for
SellerGard, a company exclusively dedicated to providing inventors and online product sellers the tools they need to protect their valuable intellectual property through patents, trademarks and other IP protection.
