Amazon has been suspending merchants due to alleged violations of the company's policies, these sellers are now searching for legal help to retain their business operations.
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Amazon Tightens Marketplace Rules for Independent Sellers
Reports showed that the strict policies of Amazon led to the suspension of millions of accounts. Although some of these are only temporary, any type of suspension could gravely affect the online sales of small business owners.
A dozen of sellers shared their concern with the increasing number of suspensions on the platform. According to them, Amazon never made the reasons clear for the suspension. Moreover, the seller support services do not always help to resolve the problem.
"If you're operating a business where the people you're deriving revenue from feel that they're being treated in an arbitrary way without due process, that is a problem," CEO of E-Merchants Trade Council, Marianne Rowden, stated.
Previously, Amazon had a major crackdown in its EU store which led to the removal of content and 4.2 million account suspensions. The company cited potential policy violations and other problems, as well.
Amazon Merchants Cooperate With US Law Firms
Four e-commerce-based law firms confirmed that the majority of the cases they handle are complaints from aggrieved Amazon sellers. The cases often piled from hundreds to thousands of cases every year.
Sellers on the Amazon marketplace are one of the profit drivers for the company. The e-commerce giant logged $96 billion of commissions and fees paid by sellers.
Some lawyers shared that while some merchants have been wrongfully accused by Amazon's system, others have broken the company's rules. The company uses an automated system that can identify and flag breaches of rules and policies.
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