EBay Inc. (EBAY) took its feud with Amazon.com Inc. (AMZN) to the next level after filing a lawsuit against the online retailing giant that accuses it of using illegal tactics to recruit sellers on eBay's platform.
Shares of eBay were down 0.7% in premarket trading while Amazon fell 0.91%.
EBay's complaint alleged that Amazon "perpetrated a scheme to infiltrate and exploit eBay's internal member email system," according to the lawsuit. The lawsuit follows a cease-and-desist letter that eBay sent to Amazon earlier this month.
Amazon responded to the original letter by stating, "We are conducting a thorough investigation of these allegations."
The lawsuit claimed that Amazon was violating California's Comprehensive Computer Data Access and Fraud Act as well as eBay's own user agreement.
"The scheme is startling in breadth - involving large numbers of Amazon representatives ("Amazon reps"), targeting many hundreds of eBay sellers, and spanning several countries overseas and many states in the United States (including California)," the lawsuit said..
The California law in question "affords protection to individuals, businesses, and governmental agencies from tampering, interference, damage, and unauthorized access to lawfully created computer data and computer systems."