"All of Tiffany's trademark infringement claims against eBay were rejected — a knockout blow to the four-year-old lawsuit that had been closely watched by Internet companies as well as luxury goods makers seeking to stop the sale of counterfeit products online. Tiffany & Co. had alleged that eBay turned a blind eye to the sale of fake Tiffany silver jewelry on its site. EBay had countered that it was not in a position to determine which goods were knock-offs... and had said the jeweler did not adequately participate in eBay's programs that help brand owners prevent fraud. The judge... said he was 'not unsympathetic' to Tiffany and others who have invested in building their brands only to see them exploited on the Web. But he said the law was clearly on eBay's side."
I think Tiffany's main gripe is that eBay gives too much control to people in its Vero program. For instance, Adobe is allowed to end auctions themselves ... meaning dedicated people at Adobe work on this. I think Tiffany is more or less making the claim that eBay should police their auctions better rather than forcing Tiffany to police them FOR eBay.