Partner
Running a Shopify store is one of the most accessible ways to launch an online business, but accessibility does not mean the business is insulated from legal liability. Many store owners assume that because Shopify provides the platform, Shopify also shields them from legal claims. That is not how the law works. Shopify supplies the technology and infrastructure; you, as the store owner, are responsible for what happens on your storefront. That means complying with consumer protection laws, federal accessibility requirements, intellectual property rules, and state privacy regulations — regardless of which platform you use to sell.
Shopify’s Terms of Service make clear that store owners are independent merchants and are solely responsible for their stores, their products, and their compliance with applicable law. When a customer, competitor, or government agency has a legal complaint about your business, they are coming after you — not Shopify. The platform’s policies provide no legal shelter against product liability claims, consumer fraud allegations, accessibility lawsuits, or intellectual property disputes.
This distinction matters enormously for planning purposes. A brick-and-mortar store owner would not assume their landlord is responsible for the safety of the products on the shelves. The same logic applies online: the host of the infrastructure is not the insurer of what you sell or how you operate.
If a product you sell injures a customer or causes property damage, you may face product liability claims even if you did not manufacture the item. Sellers in the chain of distribution — including online retailers — can be held liable under state tort law for defective products. The fact that you sourced the product from a third-party supplier or drop-shipper does not automatically insulate you. Courts in multiple jurisdictions have held that e-commerce sellers are liable as “sellers” under state product liability statutes, and some states have enacted statutes specifically extending liability to online marketplace sellers.
To reduce product liability exposure, vet your suppliers, obtain certificates of compliance for regulated products (particularly children’s items, electronics, and health products), carry adequate product liability insurance, and include clear disclaimers where appropriate.
The Federal Trade Commission Act, 15 U.S.C. § 45, prohibits unfair or deceptive acts or practices in commerce. This applies to online sellers just as it does to traditional retailers. Common violations that trigger FTC action or private lawsuits include misleading product descriptions, fabricated reviews, fake countdown timers that reset, undisclosed paid endorsements, and subscription programs that are difficult to cancel.
Many states have their own consumer protection statutes that permit private lawsuits and statutory damages. California’s Consumer Legal Remedies Act, for instance, allows consumers to sue for deceptive practices and recover actual damages, punitive damages, and attorney’s fees. A single inaccurate product claim can generate class action exposure if the problem is systemic.
Intellectual property disputes are among the most common legal risks for e-commerce businesses. Using copyrighted product photos without a license, selling counterfeit goods, or incorporating another company’s trademark into your store name, product descriptions, or ads can expose you to significant liability.
Brand owners actively monitor online marketplaces for infringement. A cease-and-desist letter may be followed by a lawsuit seeking injunctive relief and damages under the Lanham Act, 15 U.S.C. § 1114, which provides for enhanced damages and attorney’s fees in counterfeiting cases. Shopify itself may suspend your store if it receives a valid intellectual property complaint. Learn more about how Revision Legal’s intellectual property attorneys help e-commerce businesses stay compliant.
Federal courts have increasingly held that commercial websites are “places of public accommodation” subject to Title III of the Americans with Disabilities Act, 42 U.S.C. § 12182. Plaintiffs’ firms file hundreds of ADA website accessibility lawsuits every year, and Shopify stores are not immune. Many default Shopify themes and third-party apps fall short of the Web Content Accessibility Guidelines (WCAG) 2.1 standard without additional customization.
Common accessibility deficiencies that draw litigation include:
The cost of an ADA demand letter settlement is typically several thousand dollars plus remediation expenses. A full lawsuit can cost significantly more. Running an automated accessibility audit (tools like WAVE or Axe are free) and addressing common issues proactively is far less expensive than defending a claim.
If your Shopify store collects personal information from customers — which every store does, at minimum through the checkout process — you are subject to state and federal privacy laws. California’s Consumer Privacy Act (CCPA) and its amendment under CPRA impose notice and opt-out rights on businesses that meet certain thresholds and collect California residents’ data. Similar laws have passed in Virginia, Colorado, Connecticut, and more than a dozen other states.
Using third-party tracking pixels, remarketing tools, or email marketing platforms without adequate disclosures can also create liability under the CAN-SPAM Act and state email marketing statutes. A clear, accurate privacy policy — one that is actually current and reflects your data practices — is a basic compliance requirement, not a formality.
No business can eliminate all legal risk, but proactive compliance significantly reduces exposure and puts you in a stronger position if a dispute arises.
If your Shopify store receives a demand letter, intellectual property complaint, ADA claim, or lawsuit, seek legal advice promptly. Early intervention often leads to faster, less expensive resolutions and helps preserve important evidence. An attorney experienced in e-commerce and internet law can also conduct a compliance audit before problems arise — identifying exposure in your policies, product listings, advertising, and website design before a plaintiff’s attorney does.
For more information, contact the experienced e-commerce and internet law attorneys at Revision Legal. We work with online sellers, direct-to-consumer brands, and digital businesses to manage legal risk and resolve disputes. You can reach us through the form on this page or by calling (855) 473-8474.
If you own a trademark that another business is using without permission, your first instinct may be to pursue a trademark dilution claim. But dilution is a narrow legal theory reserved for a specific category of marks, and the evidentiary bar is high. Unlike a traditional infringement claim — where you prove that consumers are […]
Read more about What Evidence Do You Need to Prove Trademark Dilution?
Many developers and technology founders assume that because software is built from lines of code, it cannot be patented. The reality is more nuanced. Software can be patented in the United States, but the path to protection requires careful planning. After the Supreme Court’s landmark decision in Alice Corp. v. CLS Bank International, 573 U.S. […]
Read more about Can Software Be Patented? What Tech Companies Need to Know
Your website represents years of work — the writing, the structure, the voice, the expertise you have built into every page. From detailed practice area descriptions to original blog posts and product copy, your content is a business asset that helps potential clients find you, understand your services, and choose to work with you. When […]
Read more about A Competitor Copied Your Website Content: What Can You Do?