PARIS - L'Oreal has challenged eBay Inc. in five European countries for allegedly allowing the sale of counterfeit cosmetics and perfumes through its Web site, the company said Monday.

"L'Oreal has been facing an increasing volume of illicit trade in fake fragrances and fake cosmetic products on some online auction sites," the company said in a statement.

A L'Oreal spokeswoman said legal proceedings were launched against eBay in France, Germany, Britain, Belgium and Spain. The cosmetic giant's perfume business includes fragrances sold under the brands Giorgio Armani, Ralph Lauren, Cacharel and Lancome.

A spokeswoman for eBay subsidiary eBay France said the companies had been in talks since May regarding the sale of counterfeit goods that resemble L'Oreal products, as well as the reselling of L'Oreal products through eBay's Web site.

"We are truly disappointed" by L'Oreal's legal proceedings, the eBay spokeswoman said, adding negotiations between the companies failed because eBay found L'Oreal's requests unreasonable. Both companies declined to provide further details on the matter, but the eBay spokeswoman said talks were ongoing.

L'Oreal said online auction Web sites sell luxury products in "significant quantities by unauthorized dealers" and has decided to take legal action to defend its trademarks.

L'Oreal joins other luxury goods companies such as LVMH Moet Hennessy Louis Vuitton and PPR, who have complained the online auctioneer has not done enough to prevent the sale of fake luxury goods.

LVMH brands Louis Vuitton and Dior Couture filed a complaint in a French court last year against eBay.

PPR Chairman and Chief Executive Francois Henri Pinault said last month that his company was in talks with eBay.