eBay User Agreement Updates Arbitration, AI Disclaimer & More!

Liz Morton
Liz Morton


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eBay has released an update to the user agreement on September 25, 2023 with an effective date of October 28, 2023.

Users received the following summary of what is changing in the update in an email:

At eBay, we strive to make our policies clear and our services easy to use. As part of that commitment, we’re announcing some changes to the eBay User Agreement.

Our updated User Agreement will take effect on October 28, 2023 for all users. No action is needed from you today, but if you would like to learn more, you can find the updated User Agreement here.

Here are some of the things we updated:

  • Clarified that generative AI tools and content may be offered
  • Provided additional information on our international buying and selling programs, including the eBay International Shipping Program
  • Outlined more details related to our personalization considerations
  • Updated our arbitration terms

Further, eBay has clarified the language of its California Tax Policy to more simply state buyers’ and sellers’ obligations. The policy itself has not changed, and nothing will change for sellers or for buyers in California.

Let's take a deeper look at what's changing in the eBay User Agreement!

User Agreement
This User Agreement is effective upon acceptance for new users, and from October 28, 2023 for existing users. The previous amendment to this User Agreement was effective for all users on October 28, 2022.

Disclosing Generative AI

With a basic AI description generator already available to most sellers and a new, "magical" enhanced AI listing experience on the way, this one's a no brainer - eBay is basically just covering themselves for the fact they do not disclose on the listing page itself whether or not the listing has been created using AI tools.

Old version:

You assume full responsibility for the item offered and the accuracy and content of the listing.

New version:

You assume full responsibility for the item offered and the accuracy and content of the listing, including listing content created using tools offered by eBay or third parties such as translation, image editing, and generative artificial intelligence tools,

Same with disclaimer about using AI when making recommendations to sellers.

Old version:

We may provide you with optional recommendations to consider when creating your listings. Such recommendations may be based on the aggregated sales and performance history of similar sold and/or current listings; results may vary for individual listings. To drive the recommendations experience, you agree that we may display the sales and performance history of your individual listings to other sellers.

New version:

We may provide you with optional information to consider when creating your listings. Such information may be based on the aggregated sales and performance history of similar sold and/or current listings; results may vary for individual listings. You agree that we may display the sales and performance history of your individual listings to other sellers,

Artificial intelligence-based tools may be used to provide you with content; availability and accuracy of these tools and content are not guaranteed,

International Shipping

eBay is clarifying the process for how to opt items out of international shipping.

Old version:

Given the nature of eBay's global marketplace, listings may be viewed and purchased by, and shipped to, buyers around the world. Many of our Services are accessible internationally.

We offer certain programs, tools, and site experiences of particular interest to international sellers and buyers, such as estimated local currency conversion and international shipping calculation tools.

Sellers and buyers are responsible for complying with all laws and regulations applicable to the international sale, purchase, and shipment of items

New version:

Given the nature of eBay's global marketplace, listings may be viewed and purchased by, and shipped to, buyers around the world. Many of our Services are accessible internationally. We offer certain programs, tools, and experiences of particular interest to international sellers and buyers, such as estimated local currency conversion and international shipping calculation tools.

If, as a seller, you do not want your item to be sold to buyers internationally, you can exclude countries or regions you don't want to ship to by adjusting your shipping settings as provided in the International selling policy.

Sellers and buyers are responsible for complying with all laws and regulations applicable to the international sale, purchase, and shipment of items.

Now that the Global Shipping Program is officially discontinued and replaced by eBay International Shipping, they have also removed the previous language about GSP and Pitney Bowes from the user agreement and replaced it with information about EIS.

New version:

One of the ways we make eBay.com listings available to international buyers is through the eBay International Shipping Program ("EIS"). EIS enables buyers to obtain parcel processing, international shipping, and customs clearance services. It is facilitated by eBay through third-party service providers that eBay has contracted with to operationalize the program.

By listing your item on eBay.com you agree to the EIS Terms and Conditions. If you choose not to participate in EIS, you can opt out of the program by updating your shipping preferences.

Content

Not much has changed in this section, but users should be aware that eBay now says they can use your content to create new offerings as part of their services and that you are responsible for making sure your content is "appropriate and legal."

Old version:

When you provide content using our Services (directly or indirectly), you grant us a non-exclusive, worldwide, perpetual, irrevocable, royalty-free, sublicensable (through multiple tiers) right to exercise any and all Intellectual Property Rights you have in that content in connection with our provision, expansion, and promotion of our Services, in any media known now or developed in the future.

New version:

When you provide content using our Services (directly or indirectly), you grant us a non-exclusive, worldwide, perpetual, irrevocable, royalty-free, sublicensable (through multiple tiers) right to exercise any and all Intellectual Property Rights you have in that content in connection with our provision, expansion, and promotion of our Services, including development of new offerings as part of our Services, in any media known now or developed in the future.

Old version:

You represent and warrant that, for all such content you provide, you own or otherwise control all necessary rights to do so and to meet your obligations under this User Agreement. You represent and warrant that such content is accurate.

You represent and warrant that, for all such content you provide, you own or otherwise control all necessary rights to do so and to meet your obligations under this User Agreement. You represent and warrant that such content is accurate, appropriate, and legal.

Recommendations

A new section was added about recommendations that says:

eBay may offer personalized recommendations to you to provide a relevant and engaging experience, helping you sell or buy items of interest to you. These recommendations may consider data related to your eBay activity, the item, and seasonality, among other factors.

It sounds like eBay is likely working on enhancing recommendations to personalize the user experience, possibly using AI and other machine learning capabilities.

Arbitration

Old version:

You and eBay each agree that any and all disputes or claims that have arisen, or may arise, between you and eBay (or any related third parties) that relate in any way to or arise out of this or previous versions of the User Agreement, your use of or access to our Services, the actions of eBay or its agents, or any products or services sold, offered, or purchased through our Services shall be resolved exclusively through final and binding arbitration, rather than in court.

Alternatively, you may assert your claims in small claims court, if your claims qualify and so long as the matter remains in such court and advances only on an individual (non-class, non-representative) basis. The Federal Arbitration Act ("FAA"), and to the extent not inconsistent with the FAA, the laws of the State of Utah, without regard to principles of conflict of laws, governs the interpretation and enforcement of this Agreement to Arbitrate.

New version:

You and eBay each agree that any and all disputes or claims that have arisen, or may arise, between you and eBay (or any related third parties) that relate in any way to or arise out of this or previous versions of the User Agreement, your use of or access to our Services, the actions of eBay or its agents, or any products or services sold, offered, or purchased through our Services shall be resolved exclusively through final and binding arbitration, rather than in court, subject to any exemptions listed in this section.

The Federal Arbitration Act ("FAA") and, to the extent not inconsistent with the FAA, the law of the State of Utah without regard to principles of conflict of laws govern the interpretation and enforcement of this Agreement to Arbitrate.

Exemption - Small Claims Court Claims

Notwithstanding the parties' agreement to resolve all disputes through arbitration, either party may seek relief in a small claims court for disputes or claims within the scope of that court's jurisdiction and on an individual (non-class) basis only.

If a party initiates an arbitration asserting a claim that falls within the jurisdiction of a small claims court, the other party may, in its discretion, require that the arbitration demand be withdrawn and that the claim be filed in small claims court.

Any dispute about whether a claim falls within any given small claims court's jurisdiction will be resolved by that court, not by an arbitrator. In the event of any such jurisdictional dispute, the arbitration proceeding will remain closed unless and until the small claims court issues a decision that the claim should proceed in arbitration.

And that's it for changes to eBay's User Agreement, effective October 28, 2023.

eBay also made updates to the Sales Tax Policy page to clarify the obligations of buyers and sellers when it comes to California sales - nothing about the policy has changed, eBay says they have just stated the policy more clearly.

Tax policy
Sellers must follow all tax regulations that apply to eBay sales.

That clarification is likely being made in relation to their tax sharing deal with the city of San Jose that gives eBay a kickback of 30% of any tax revenue collected over $5 Million a year, which has come under renewed scrutiny in recent months.

Could eBay Lose San Jose Tax Sharing Deal Worth Millions?
Tax sharing deals for eBay, Apple & more receive scrutiny as California cities push for fairer distribution & some lawmakers push back.

Let us know what you think of these changes in the comments below!

eBaySeller UpdatesAI

Liz Morton Twitter Facebook LinkedIn

Liz Morton is a seasoned ecommerce pro with 17 years of online marketplace sales experience, providing commentary, analysis & news about eBay, Etsy, Amazon, Shopify & more at Value Added Resource!


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