Amazon disposed almost $100,000 worth of my inventory ?!


#1

I was suspended 3 months ago and was preparing my warehouse for inventory removal from fba to my warehouse.

I did not receive any emails in regards to this unauthorized disposal of my inventory.

This is crazy.


FBA vs FBM margins
#2

Amazon disposing of it means that they will be selling it under Amazon Warehouse Deals and keeping all of the money for themselves. On top of that, they are also charging you per unit for a disposal fee. How cool is that?


#3

Reason #536 to not do FBA


#5

I do FBA, only way to work a full time Job and run a million dollar a year retail operation. But sounds more like reason 1 not do do FBA. YIKES


#7

Similar situation, posted in October 2018 and still waiting for an Arbitration hearing: Amazon disposed of almost 400 units.

Hopefully, yours was not for a counterfeit claim, you cannot back up. Hire an attorney, if you have not yet done so and good luck.


#8

I am pretty sure Amazon has an automatic disposal if inventory isnt withdrawn after x period of getting suspended and you agree to it upon doing amazon FBA. If you were suspended under counterfeit claims though you will never get your inventory.


#9

:rofl: :grinning:

That’s what you get for using FBA…


#10

What was the suspension reason?

Unfortunately, in cases when the suspension reason has something to do with authenticity issues, Amazon may withold all funds and even destroy any FBA inventory if you fail to provide them valid invoices.

This is all mentioned in their Anti-counterfeiting Policy, which you agreed at the time of registration.

Here: https://sellercentral.amazon.com/gp/help/help.html/?itemID=G201165970&ref_=ag_G201165970_h_r0_cont_sgsearch


#11

Generally what was your product category?


#12

Looks like OP has been suspended twice for counterfeit/unauthorized?

Here’s one: Your Amazon.com Selling Account

Here’s the most recent:

So very sorry, @Milly, but Amazon won’t release goods back to you if you can’t prove they are authentic and that you had the right to sell them. Otherwise, Amazon would get in legal trouble with the rights holder.

I don’t think in this case that even Amazon can sell it as a Warehouse Deal or whatever. I think Amazon does literally have to destroy it, or they would get in legal trouble themselves with the rights holder.


#13

What’s crazy is that Amazon acts like they own your inventory when you are the one that purchased it in the first place. Amazon is only shipping out the products. They do not own FBA merchandise sent to them. They act like they can do whatever they want with the products sent to their warehouses.

If one customer makes a false claim of authentic in order to get a free item, Amazon would then dispose of all inventory. Insane. Amazon would trust a random buyer more than a seller of 10+ years with 100% perfect ratings and account health.


#14

I believe that is the suspension the OP is referring to (January suspension), since they stated in their first post and unfortunate for the OP, for “Intellectual Property Violations”.

I was suspended 3 months ago and was preparing my warehouse for inventory removal from fba to my warehouse.

…and another problem in February: Your Amazon.com Selling Account

If they hadn’t deleted their original posts, we’d have a better idea of what was going on.

Confusing, to say the least… :snail:


#15

To me, it’s unclear what inventory @Milly is referencing in this thread. In her January thread about this suspension, she said: “I have removed, closed and deleted all inventory from Amazon and destroyed all products for which I received complaints.”

Those complaints were from the rights holder, and at least some of the goods were violating patents. So, she was in hot water. It wasn’t just a customer wanting a free return label.

I don’t know if the stuff she’s referring to now was product not involved in those complaints? I don’t know what Amazon does with unrelated merchandise.

What a mess, though. Devastating. So sorry, @Milly. :bouquet:


#16

Very helpful


#17

That one was February 2018, and related to infringement claims. The one in January 2019 involved patents. :persevere: … What is unclear in this thread is whether the goods @Milly was wanting to recall was not involved in those claims?


#18

I think @Milly needs to clarify, rather than all of us speculating, on exactly what happened.

It seems, they are not disputing the claims against them, they are trying to find out “why” they were not notified of the disposal, after being warned, what would happen.

According to Amazon Anti-Counterfeiting Policy, because of the possibility of additional legal actions and fees, all monies and stock are withheld by Amazon, regardless of the fact, some items, may not be included in the complaint.

They need an attorney, whom they trust and possibly proceed with arbitration.


#19

Sorry, @Milly, @Rushdie, and thread readers. I am using my iPhone and it’s hard to jump between threads. But I did some more jumping after I posted above, and it looks like just one suspension, beginning in January, but OP created two different threads about the suspension, one in January and one in February, but it appears it was just one suspension, right, Milly?

The most worrying complaint was from Apple, lodged against some of Milly’s listings for air pod look-alikes. And I imagine there was just no way to get Apple to withdraw their complaint on those.

Is that the merchadise you are asking about in this thread, Milly?


#20

Obviously, Milly should consult with an attorney for an issue this large.

However, it is my guess that the attorney will advise Milly that Amazon
does NOT have the right to destroy these goods without EVIDENCE they are
counterfeit. And, if challenged in arbitration, Amazon will have to convince
an arbitrator that the destroyed goods were counterfeit. It won’t be enough
for Amazon to say the goods MIGHT be counterfeit, even though they have
no real evidence, just a complaint they received from either a customer or
copyright/patent holder. Which they ASSUME was valid.

Because, if they did receive such a complaint, Amazon would need
to do due diligence and investigate whether the complaint was valid or
not. Taking the lazy way out and ASSUMING the complaint was valid
will not cut it with an arbitrator.

This lazy way would be OK if Amazon decided to suspend the seller and
arrange for the return of the suspect goods.

But if Amazon destroys the goods, it better have enough evidence to
justify it. In other words, Amazon has stuck its neck out by destroying
the goods. And, if challenged in arbitration, be forced to defend its
decision.


#21

You posted at the same time I posted, Rushdie. So: that explains that then. :persevere:


#22

No, what is crazy is that FBA sellers do not read and or understand the terms they agree to when shipping inventory to Amazon for FBA sales.