Suing Amazon for Permanent Deactivation of My Seller Account – Thoughts?
Hi all,
I’ve been a seller on Amazon since 2022 and have built a 7-figure business specializing in retail arbitrage (RA). Recently, my seller account was deactivated, and I feel their reasoning is unjustified. Here’s what happened:
Amazon flagged one of my products, an ASIN I sourced from Walmart. When they requested authenticity verification, I reached out to the brand owner and confirmed that the product was authentic. Walmart is also an authorized distributor for the brand, so there shouldn't have been any issue.
Then, they required me to complete their video interview verification process, which I did. However, after the interview, they kept requesting the same documents repeatedly—5-6 times in total. Despite providing everything they asked for, Amazon decided to deactivate my account, citing Section 3 of the Amazon Services Business Solutions Agreement.
I know this happens to a lot of sellers, especially in the RA space, but it’s frustrating given the amount of effort I’ve put into building this business. If the deactivation turns out to be permanent, I’m considering suing Amazon for damages and to seek reinstatement.
I wanted to ask this community:
- Has anyone else experienced something similar, and how did you handle it?
- Is pursuing legal action against Amazon worth it? What are the potential pitfalls?
- Should I explore other options like hiring a reinstatement service or escalating the case with Amazon through an attorney?
Any advice or shared experiences would be greatly appreciated.