Amazon’s NEW Multiple Account Policy & Price Gouging Suspension WIN
HUGE NEWS from CJ Rosenbaum, the official Amazon Sellers Lawyer..
We have sellers worldwide contact us about related account suspensions all the time. Amazon has now created a new policy in which I’ll read to you..
Multiple Selling Accounts on Amazon
“You may only maintain one Seller Central account for each region in which you sell unless you have a legitimate business need to open a second account and all of your accounts are in good standing. If any of your accounts are not in good standing, we may deactivate all of your selling accounts until all accounts are in good standing.”
Examples of a legitimate business justification include:
- You own multiple brands and maintain separate businesses for each.
- You manufacture products for two distinct and separate companies.
- You are recruited for an Amazon program that requires separate accounts.
Let’s pick Amazon’s new multiple account policy apart..
“You may only maintain one Seller Central account for each region in which you sell.” I have yet to meet an Amazon seller that doesn’t sell nationwide. It doesn’t make sense. It doesn’t say countries, it says region.
“you have a legitimate business need.” There’s no way for you to confirm that what you believe is a legitimate business need is what Amazon believes to be a legitimate business need.
“all of your accounts are in good standing.” This seems to assume that before you open up another account, that you already have multiple accounts. I’m not sure if it’s poor draftsmanship or if it means once you open up another account, that all of the accounts have to be in good standing. Also, it doesn’t say what good standing is. We have done dozens and dozens of arbitrations. We’ve seen countless sellers who believe they have perfect metrics have Amazon on them for investigation. Or, Amazon goes back and finds a reason to do bad things to sellers all the time. So, there’s no way to know what you think is good standing is the same as what Amazon thinks is good standing.
Even though Amazon is laying out ways to open second accounts and feel safe, the reality is, you are not safe. Here’s my advice – in this time of the Coronavirus, we are in a recession, we might be headed into a depression. Do not open up another account right now.
HUGE WIN BY OUR TEAM: we had a huge price gouging suspension win by Travis Stockman and his team in our office.
We won a price gouging case. With this particular product, it was marked up 4x – four times its cost and a little bit more. It was a gouging suspension with a 72 hour notice. There was no doubt that this was considered an essential product. There wasn’t even a question. It had to do with a food product.
So how did our law firm win this case?
We used Amazon’s fair pricing policies in a killer, persuasive Plan of Action. We came up with awesome arguments with systemic changes to the business that persuaded Amazon’s limited staff in India that they would never have a problem with our seller again. Even with a 4x markup, we were able to get this seller back on. Travis, Vin, Jacques and the whole team – congratulations.
Rosenbaum Famularo, PC, the law firm behind AmazonSellersLawyer.com.