Shopify prohibits merchants from selling counterfeit goods or using another party's intellectual property without authorization, including trademarks, copyrights, and other protected content.
This analysis describes what Shopify's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
This clause establishes a boundary condition for permitted use of the platform by restricting commercial activity involving unauthorized intellectual property. The provision operationalizes Shopify's compliance obligations regarding intellectual property enforcement.
End consumers shopping on Shopify-hosted stores have a stated platform-level assurance that merchants are prohibited from selling counterfeit goods; however, enforcement depends on Shopify's review processes and rights holder reporting mechanisms.
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"You may not use the Shopify Services to offer, sell, or facilitate the sale of: Counterfeit goods: Sale of counterfeit goods or use of another's intellectual property without authorization or in a manner that otherwise infringes on another's intellectual property rights.— Excerpt from Shopify's Shopify Acceptable Use Policy
(1) REGULATORY LANDSCAPE: This provision interacts with the Lanham Act (trademark), the Digital Millennium Copyright Act (DMCA), and the Copyright Act (17 U.S.C.) in the United States. Internationally, it engages with the EU Trademark Regulation, TRIPS Agreement obligations, and applicable national IP laws. The DMCA provides a separate notice-and-takedown mechanism that operates alongside this AUP provision. (2) GOVERNANCE EXPOSURE: Medium. Counterfeit goods and IP infringement are among the most commonly litigated e-commerce compliance issues. The provision does not specify a review or pre-clearance mechanism for merchants uncertain about IP clearance, placing the compliance burden on merchants. (3) JURISDICTION FLAGS: EU merchants face additional obligations under the EU's Digital Services Act regarding counterfeit goods, which imposes due diligence requirements on online marketplaces. US merchants should be aware of the INFORM Consumers Act, which imposes disclosure requirements on high-volume third-party sellers. (4) CONTRACT AND VENDOR IMPLICATIONS: Merchants sourcing products from third-party suppliers should conduct supplier due diligence to identify counterfeit goods risk. Dropshipping merchants face particular exposure given limited visibility into supplier product authenticity. Legal teams should ensure vendor contracts include IP compliance representations and warranties. (5) COMPLIANCE CONSIDERATIONS: Merchants should conduct trademark clearance searches for their product names and brand assets and maintain documentation of licensing agreements for any third-party IP used in their stores. Review of supplier agreements and product sourcing documentation is advisable, particularly for merchants in high-counterfeit-risk categories such as apparel, electronics, and luxury goods.
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This clause establishes a boundary condition for permitted use of the platform by restricting commercial activity involving unauthorized intellectual property. The provision operationalizes Shopify's compliance obligations regarding intellectual property enforcement.
End consumers shopping on Shopify-hosted stores have a stated platform-level assurance that merchants are prohibited from selling counterfeit goods; however, enforcement depends on Shopify's review processes and rights holder reporting mechanisms.
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