There has been a lot of noise about Amazon's recent commitment to counteracting Chinese companies who have carried out malpractices on its e-commerce platform regarding the encouragement of positive reviews among customers. Incredibly, the Chinese companies that received the ban just sued Amazon .
The banned companies that have sued Amazon do not deny that they have had misconduct regarding the encouragement of positive reviews pushed with gift cards and refunds of purchases . The Chinese brands that filed the lawsuit contest the fact that Amazon withheld part of their earnings on the platform after the ban. The lawsuit is in fact based on the embezzlement that Amazon allegedly implemented.
So Amazon conducted a malpractice in turn embezzling the funds? Reading the agreement it enters into with third-party sellers on its platform, called Amazon Services Business Solutions , it seems not : in fact, we read that Amazon reserves the right to manage at its discretion the funds deriving from the e-commerce activities that take place on its platform in case of violation of the its terms of service.
So the judges, if the case goes ahead, will have to verify if Amazon is really entitled to withhold the funds.
The Chinese companies that filed the lawsuit, among which we find Sopownic , Slaouwo , Deyixun , Cstech , Recoo Direct , Angelbliss and Tudi , argue that Amazon, as distributor and responsible for the agreement with third party sellers, should have been aware that some of them were distributing cards gift and refunds in exchange for positive reviews.
We will see how it turns out, we will come back to update you as soon as more details emerge. In the meantime, let us know what do you think about the story. For further details we also leave you the official document of the lawsuit filed by Chinese companies against Amazon.
