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Asad Rahman
Asad Rahman, Attorney
Category: Business Law
Satisfied Customers: 2136
Experience:  Practicing Attorney with 10 years experience
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I have an online business where I resell items that I buy

Customer Question

I have an online business where I resell items that I buy from a company's website. The terms and conditions on my supplier's website clearly state that the items they sell are for personal use only. The supplier based out of CA. They have emailed me a cease and desist and threatened legal action. They have blocked me from ordering on their website but there are others that order on my behalf so that I can continue to sell on Amazon.
1.) Do website terms and conditions hold up in court? I do not have to type out my name or even click a checkbox stating that I agree, however, they put verbiage upon placing an order that you agree to the terms and conditions upon ordering.
2.) They stated in the cease and desist that my sales are not subject to the First Sale Doctrine and I am violating trademarks and copyrights. Is this true? Can I go to jail for this if I am found guilty in court?
3.) Is what I am doing illegal? If so, what is the liklihood that they will actually take me to court or use arbitration?
4.) What is the actual penalty for breaking a site's Terms and Conditions?
5.) I do not have a business entity. I am operating under my own name and social security number. If I am found guilty, are they allowed to garnish my wages?
6.) Would you stop selling these products if you were me?
Thank you
Submitted: 11 months ago.
Category: Business Law
Expert:  Asad Rahman replied 11 months ago.

1) yes they would hold up if they are clear and conspicuous and are part of the sale.

2) i think they are right here if their product was not intended for resale. 3) it is not criminally illegal but it does put you civilly liable. It is hard to predict likelihood because I do not know their intent. 4). There are not penalties but possible damages you would pay them such as lost profits. 5). If they won a lawsuit against you yes your wages and other assets could be subject to lien or garnishment.

Customer: replied 11 months ago.
re #1: Can I forward you the terms and conditions verbiage and have you take a look?Is this communication with you available to others online? I would like to get in depth but don't want to provide any details for others to see. Thanks.
Expert:  Asad Rahman replied 11 months ago.

There will be an additional charge for me to review any document. I do not know if this is visible to other users unless they are registered with the site. You would have to consult with the customer service

Customer: replied 11 months ago.
The cease and desist was sent via email. I have had zero communication with this company or their lawyer. Would an emailed cease and desist hold up? Can they legally track if I received and/or opened the email?
Expert:  Asad Rahman replied 11 months ago.

Yes a cease-and-desist sent via email would probably hold up. Some email programs allow for a read receipt sent to the sender

Expert:  Asad Rahman replied 11 months ago.

If you have any additional questions just let me know otherwise a positive rating would be appreciated.

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