Amazon FBA Business

Amazon Is Participating in Illegal Price Fixing and Monopoly Fraud

Amazon is participating in illegal price fixing and monopoly scam. The way it works. I am a new seller at Amazon. I sourced products from US based wholesalers and posted it on Amazon.

These products all have UPCs and brand owners have created these listings on Amazon before me. All I am doing is listing my inventory and selling these products, basically competing for the “buy box”.

Few days after I began selling, my account got shut down. Amazon sent me a message that I might be selling unauthentic products and asked me to submit invoices, agreements and any other information that may prove otherwise.

I did everything and more. I sent to Amazon all the contracts, invoices, contact details of the wholesalers.

Amazon received more than enough information that they need to verify. Nobody bothered to verify anything. I believe nobody at Amazon has even looked at it. It’s just not being researched as Amazon promises. Replies are computer generated and generic messages sent by a software.

Several going back and forth, Amazon has been sending me messages saying that I am not selling authentic products, even after I provided an overwhelming amount of information proving otherwise. Nothing gets through. No human reads it period.

Here is the reason. Amazon does not want 3rd party sellers promoting brands and selling it under a certain price, in that case Amazon will make less money in commissions, but it’s illegal to enforce it this way. It’s against monopoly laws. It also allows brand owners to go against supreme court rule from 2017 – you buy it, you own It, so that sellers do not buy branded items at the wholesale prices to list it on Amazon below MSRP. This law “you buy it you own it” clearly says that if you purchased an item legally, it’s yours to do as you wish and the brand owner waves all the rights.

Legally brand owners cannot say that they do not want 3rd party sellers. Amazon is allowing this scenario instead, the maker – brand owner and the seller are the same and no 3rd party seller can come close. That is price fixing and monopolizing. That way brand owners can price their products on Amazon at the highest possible prices, Amazon makes more in commissions and brand owners do not have to worry about underselling products at wholesale prices. This is the biggest scam of all times, when you are dealing with the majority of market share. We are talking about billions of dollars. This is FRAUD! Everyone wins except the tiny flea like me – the seller that is supposed to be protected by the US laws, laws that failed miserably. It feels like I am living in a 3rd world country, not the United States. My rights are violated and nobody is doing anything about it.

It does not take a genius on Amazon to add filters in Amazon’s database, where it’s a checkmark – 3rd party sellers allowed per product or not, that would be illegal. Instead Amazon allows everyone to list as they wish, making it look like everything is according to laws and comfortably pretend that sellers are listing counterfeit products (as they mention may be counterfeit), shutting down their accounts based on assumption and asking to provide documentation that nobody is even reviewing at Amazon!!!! Amazon is in on this scam with brand owners and it’s sad that our American judiciary system is allowing it to happen.Where are the US laws. Where is the bill of rights? Where is the free market? This is illegal, this is 100% FRAUD. I don’t understand where the US congress is looking at and why it is allowed to continue.

How You Can Become Successful By Partnering With Amazon

I am one of hundreds of thousands of victims of this and I want it to stop!

P.S. Someone I know went through the same process and after a while, he made a lot more sales compared to me and Amazon frozen $4,000 on his account. Few days ago, Amazon sent this individual the following (not only Amazon is committing FRAUD, they have stolen money from this person):

After completing our investigation and reviewing the information you provided, we have determined that your Amazon seller account has been used to engage in deceptive, fraudulent, or illegal activity (WTF?) that harms our customers, other selling partners, and our store. What happens now? The funds in your account will not be disbursed to you. This is a final decision made after reviewing the information you provided. We may not respond to further emails about this issue.

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