Amazon was ordered to lift the store closure! Are a large number of sellers' stores saved?

Recently, a piece of news has been going viral on the Internet. A German court ruled that it was illegal for Amazon to close its stores without reason, and ordered the unblocking of the seller's account !

The cause of the incident was the wave of store closures in May. A relatively well-known local beauty seller in Germany was affected and had its store closed, resulting in the company losing an important sales channel and having a large amount of FBA inventory detained by Amazon. These unsold products were in danger of being destroyed.

Amazon did not give a specific reason for the account being blocked, only saying that it violated the terms of use, and nothing else. The seller wanted to appeal but there was no corresponding window or channel, so he was extremely anxious. He eventually found a lawyer team and sued Amazon in court for blocking his store without reason.

The result is well known to everyone. The seller actually won the case. The court ultimately ruled that Amazon abused its dominant market position and seriously violated regulations by closing the seller’s store. “This monopolistic behavior may pose a threat to the survival of the company .” The court required Amazon to immediately lift the blockade of accounts and sellers’ inventory.

Amazon's wave of store closures has caused complaints from sellers everywhere. Finally, a government agency can help sellers! This is really a cause for celebration. And more importantly, this judgment is the first illegal judgment issued against a platform after Europe implemented the new version of the e-commerce platform regulations.

In fact, the European site is currently the only site that officially implements the P2B policy. This policy is aimed at regulating the relationship between e-commerce platforms and third-party e-commerce sellers to prevent a single platform from dominating and sellers from being treated unfairly and unable to resist.

This European policy was officially implemented in 2019. At that time, it caused a lot of controversy on the Amazon platform. The official even sent a special notification letter to inform sellers of changes in relevant regulations, including that stores could not be closed without reason, and that sellers needed to be notified 30 days in advance before closing the store.

This is an advantage that other sites do not have. At that time, many sellers settled in Amazon because of this regulation. However, in the following year, we experienced the sudden outbreak of the epidemic, and the global economy was hit hard. In addition, Amazon played a significant role in the epidemic, and the EU temporarily had no time to take care of this new policy.

This year's store closure caused too much trouble. Too many companies suffered heavy losses due to Amazon's unreasonable store closures. This gave the EU, which had already implemented a P2B regulatory policy, a good opportunity to deal a heavy blow to Amazon based on this 2019 policy.

This is the first official illegal judgment since the implementation of the new policy, and it is of great significance. Because European and American countries implement case law, the judgment of general cases will largely refer to the judgment results of previous similar cases. Therefore, once Amazon is found to have violated the law, the same judgment will most likely be enforced later. This is very beneficial to us sellers! I can only say that the EU is really tough and has taken the lead in sanctioning American companies.

After understanding the above situation, it is not difficult to find that it is not that our country does not help, but there is no relevant legal basis in this area, and we cannot confront Amazon head-on. After all, the EU's P2B regulatory policy was implemented the year before last, and similar policies in China and other developed countries are still being explored. But you can rest assured that with the successful precedent of the EU, this exploration will not take too long, and the good times for us sellers are coming!

According to foreign media reports, Japan and South Korea are already drafting their own P2B digital platform regulatory bills, and our drafting work is also in progress.