Q: Amazon/eBay reselling Are people restricted to only reselling non branded products?

A: Starting an e-commerce business reselling products from Alibaba is a great venture, and understanding the legal landscape for reselling branded versus non-branded products is crucial for your success.

Here are some important points to consider:

Non-Branded Products: If you're buying and reselling non-branded products, you generally don't need any special permissions or licenses, as long as the products are not infringing on trademarks or patents (e.g., counterfeit or "knockoff" products). However, it’s wise to ensure that all products are compliant with U.S. import laws and safety standards.

Reselling Branded Products: If you wish to resell branded products (those with a registered trademark, such as electronics, clothing, or beauty products), it’s important to understand:

Authorized Reseller Agreements: Many brands require resellers to obtain permission or enter into authorized reseller agreements. Without this, you may face issues with the brand or marketplace platforms like Amazon or eBay, which often require proof that you're an authorized reseller.

First Sale Doctrine: Under U.S. law, the "first sale doctrine" allows you to resell legally purchased branded products without needing a license, as long as the products are authentic and have been lawfully acquired. However, this doesn't protect against restrictions some brands may impose.

Warranties and Product Authenticity: Selling branded products without being an authorized dealer may cause issues with product warranties, and customers might raise concerns about authenticity.

Licensing & Intellectual Property Concerns: Even for branded products, selling counterfeit or infringing items, knowingly or unknowingly, can result in legal action, including trademark infringement claims. Always verify that the branded products are genuine and not restricted by the manufacturer.

In general, it may be safer to focus on non-branded products or obtain the necessary permissions if you wish to sell branded items.