Amazon Services Business Solutions Agreement

As we all know, every time we register on any kind of website, we also agree to the terms of use they set. The only problem is that almost no one reads them. So what do we need…

As we all know, every time we register on any kind of website, we also agree to the terms of use they set. The only problem is that almost no one reads them. So what do we need to know about it to feel comfortable working on Amazon seller`s account?

Amazon`s terms of use are called Amazon Services Business Solutions Agreement. You can find it here: https://sellercentral.amazon.com/gp/help/external/G1791

Of course, the main part of this agreement is obvious, but some points may play a starring role in your position as a seller in Amazon. Many new sellers get stunned when they are suspended for the first time because they do not know a reason. So there are some important rules from the agreement:

  1. Amazon controls your payments and they can withhold them as long as they think is needed. If Amazon thinks that you owe them due to any risks, they can:
    • Charge Your Credit Card or any other payment instrument you provide to them in your seller`s account.
    • Invoice you for the services they provide.
    • Reverse any credits to Your Bank Account.
  2. Collect payment or reimbursement from you by any other lawful means (For example, if you violate someone`s intellectual property rights).
  3. They also can permanently withhold any payments if Amazon determined that you have been engaged in deceptive, fraudulent, or illegal activity, or to repeatedly violate Amazon’s Program Policies. In this case, you may not be able to get your money back. Eventually, Amazon will use your funds to cover possible obligations to customers.
  4. More importantly, is that all legal disputes are to be resolved via Arbitration. This means that if you file an application with a state court, it will be rejected. There are some exceptions when you actually can sue in small claims court:
    • if you are suing as an individual or sole proprietor and claims’ amounts are less than 10,000.
    • if claims’ amounts are less than 5,000.

In any other disputes, you must refer to the American Arbitration Association.

As you can see Amazon uses some criteria to characterize your selling account, and you probably wonder what exactly can make an effect on your position as an Amazon seller. Unfortunately, these criteria are hidden, which means that you can make 1 little mistake, even if it wasn`t something illegal, and still be suspended for incorrect behavior and lose your selling account.

 

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