December 28, 2023
ARBITRATION vs APPEALS
A seller that has been wronged by Amazon has only two avenues of recourse:
The “appeal decision” button at the bottom of Amazon's suspension announcement, or
Arbitration before a neutral arbitrator under the auspices of the American Arbitration Association.
Amazon prevents sellers from taking claims to the courts by inserting an arbitration clause in its Terms of Service agreement with sellers.
The right choice for important claims, with substantial dollar amounts, is to go to arbitration right from the start.
Amazon often goes weeks without responding to appeals. Paul Rafelson, an attorney who founded the Online Merchants Guild has said “This Amazon court system is on par with North Korea in terms of fairness and transparency.”
The Amazon Appeal Process is Designed to Ruin Your Arbitration Case.
It's true. Most Amazon Appeal consultants will tell you that your written appeal, known as a Plan Of Action, should "acknowledge and take responsibility for the damage done to customers" and should be critical of your actions. After your appeal is denied, those kinds of admissions will be used by Amazon against you in arbitration.
Opting for arbitration, rather than muddling through Amazon’s internal appeal process means that your dispute will be heard by a neutral professional arbitrator, and Amazon is bound to honor the arbitrator's decision.
If your business has been seriously injured by Amazon, you may have a substantial claim for damages. In that case you need to file an arbitration. Contact our office and we will take a look at your case and if you have a case we'll handle it for you.
Also, if Amazon is commencing arbitration against you, we advise you be represented by an experienced arbitration attorney. Give us a call.
Written by
Ralph Edwards
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