Counterfeiters ordered to pay $1.3 million for selling fake Canon camera accessories on Amazon

 A federal court judge issued a default judgment against three residents of China accused in a civil lawsuit of selling counterfeit camera batteries and chargers bearing the name “Canon” on Amazon.com, according to court documents and executives at the online retailer and Canon U.S.A. Inc. in Melville.

Shao Zhuan Chen, Shao Yi Chen, and Zubing Zheng, who all live in China, together used 40 Amazon selling accounts to offer the fake Canon products to consumers in 2020 and 2021. Yi Chen controlled 35 of the accounts, the camera manufacturer and Amazon said in a court filing in May.

The three worked with 10 accomplices to commit the fraud, according to court records.   The accomplices aren’t identified in the filing.

Sales of the counterfeit goods totaled $437,309, and Amazon said it paid refunds of $222,051 to customers, the filing states.

This month, federal Judge Marsha J. Pechman in Washington state issued a permanent injunction against the three defendants, barring them from selling counterfeit Canon camera batteries and chargers.

She also ordered the three to pay damages totaling $1.3 million to the camera maker and reimburse Amazon for about $222,000 in customer refunds. Yi Chen, also known as Chen Shao Yi, must pay the lion’s share of the damages, based on the judgment document.

The judge said the defendants hadn’t responded to the allegations of counterfeiting and trademark infringement first made by Canon and Amazon in May 2023. The defendants could not be reached for comment on Monday.  

Canon U.S.A. officials hailed the judge’s decision, saying the company pursues counterfeiters to show American customers that it values the trust they place in Canon products.

“We will not tolerate the fraud perpetrated on consumers and our brand by counterfeiters,” said Seymour Liebman, executive vice president, chief administrative officer and general counsel at Canon U.S.A. The entity oversees Japan-based Canon Inc.’s operations in the Americas from a 696,000-square-foot office on Walt Whitman Road.

Canon U.S.A. officials declined to specify if or when the company would receive the damages payment. 

The company filed the lawsuit in federal court in Washington state with Amazon’s Counterfeit Crimes Unit. The online retailer is based in Seattle.

At the time, the unit’s director, Kebharu Smith, said, “We have forged strong relationships with brands like Canon demonstrating that our anti-counterfeiting efforts are more effective when we work together.”

Amazon suspended the fraudulent selling accounts last year once Canon U.S.A. determined the camera batteries and chargers weren’t genuine.

Canon U.S.A. isn’t the only Long Island-based company fighting counterfeiters.

LifeVac LLC, the maker of a choking-rescue tool in Nesconset, and D’Addario & Company Inc., a maker of musical instrument accessories in East Farmingdale, are both trying to stop thieves from copying their ideas and then making money selling imitations.

Nationwide, patent holders file about 4,600 lawsuits each year in federal district courts, seeking to stop the sale of counterfeit goods. More than 36 suits are filed locally, based on a Newsday analysis of court filings in Central Islip and Brooklyn in the past decade.

By James T. Madore

james.madore@newsday.comJamesTMadore

James T. Madore writes about Long Island business news including the economy, development, and the relationship between government and business. He previously served as Albany bureau chief.