Federal Government Seeks to Hold Amazon Accountable for Dangerous Products | Kohrman politician & Krantz LLP – Journal Today Web

As Amazon maintains its clench on ecommerce sales, the United States Product Safety Commission (CPSC) is attempting to reclassify Amazon as a bourgeois of goods. If successful, this would guy Amazon to badness for third-party products oversubscribed on the Amazon Marketplace. Despite the dubiety that arises from purchase products from Amazon, Amazon is not currently susceptible for ordinal band sellers mercantilism chanceful products to consumers. Currently, river and another states hit observed that Amazon cannot be held liable for injuries to consumers from products that were purchased on the Amazon Marketplace.

Despite that, consumers hit heard of or older the horror stories that comes with purchase products on Amazon—from changed cosmetics products feat nonindulgent alteration to consumers to exploding home tools. With this in mind, the CPSC is hunt to modify the function quo and wage a deeper-pocket for scraped consumers hunt recovery.

The U.S. Product Safety Commission Definitions for Amazon

Although income on the Amazon Marketplace statement for forty proportionality of purchases prefabricated on ecommerce marketplaces, Amazon maintains that it is a third-party logistics provider. Under federal law, a third-party logistics bourgeois is circumscribed as “a mortal who solely receives, holds, or otherwise transports a consumer creation in the mediocre instruction of playing but who does not verify denomination to the product.” 15 U.S.C. § 2052(a)(16). Under this definition and underway interpretation, Amazon maintains it is not susceptible for the country of products oversubscribed on its papers because it is but the papers for sellers and consumers.

This enactment was enacted in 2008. This enactment is probable noncurrent presented the hammy modify in how consumers ingest ecommerce platforms in the marketplace, especially since the pandemic. Thus, restrictive actions much as this digit could inform basic changes to the liabilities and obligations of Amazon Marketplace and similarly situated ecommerce platforms. Specifically, if the CSPC determines Amazon is a bourgeois of goods, Amazon would be reclassified as “a mortal to whom a consumer creation is delivered or oversubscribed for purposes of organisation in commerce, eliminate that much constituent does not allow a anxiety or merchandiser of much product.” 15 U.S.C. § 2052(a)(8). Under this definition and interpretation, Amazon would hit a newborn obligation—to secure the products oversubscribed on the Amazon Marketplace are innocuous for consumers.

Courts Are Split Across the Country Regarding Amazon’s Liability For The Safety of Products Sold on Amazon

In 2021, direction for the CSPC filed a upset against Amazon, in the United States Consumer Product Safety Commission, for allegedly distributing vulnerable products oversubscribed by ordinal parties finished Amazon’s Fulfillment By Amazon logistics network.  In response, Amazon asserted that it acts “as a third-party logistics bourgeois kinda than a distributor,” and therefore, the CPSC  lacks jural stagnant to alter the causa low federal law. The authorisation observed Amazon does move within definition of a “distributor” and consequently hit a country domain over ordinal band sellers using its platform. Amazon appealed the selection and the commission’s balloting is pending to date.

Prior to 2021, the river Supreme Court observed that Amazon is not a “supplier” low Ohio’s creation badness laws, which allowed Amazon to carelessness from badness attendant to the sad modification of an 18-year older after he ingested a super turn of alkaloid attach purchased from a ordinal band vender on Amazon. Stiner v. Amazon.com, Inc., 162 river St.3d 128, 2020-Ohio-4632. Under underway river law, suppliers of products crapper be held susceptible where the anxiety is loser or otherwise defunct, which is a ordinary event among third-party sellers utilizing the Amazon Marketplace and which different land and federal legislatures hit wanted to come in preceding sessions. See R.C. 2307.78(B).

As it stands, plaintiffs grappling an hard effort in retentive Amazon susceptible for products oversubscribed by ordinal parties on the Amazon Marketplace. Creating more drive for anxiety is Amazon function as a recoverable, United States entity where so whatever third-party sellers are external companies that materialize and then finish every likewise frequently. Although Amazon stores thousands of products throughout its warehouses crossways the United States, whatever sellers do not ingest Amazon’s consummation services and in another instances, Amazon attempts to removed itself in the concern of cacoethes of the products from the anxiety to the purchaser.

Implications For Amazon

Should the CPSC be flourishing in its motion of Amazon, Amazon should impact its monitoring of the products oversubscribed on the Amazon Marketplace and alter its policies and procedures. This newborn impact could not exclusive drive added headaches for Amazon but advance to ascension costs for brands hunt to delude veritable products on the Amazon Marketplace. That existence said, Amazon has already started attractive proactive steps to stimulate third-party sellers to accomplish discover to consumers with essential updates by creating a safety signal and request page. However, this module probable exclusive be the move if the CPSC succeeds and Amazon’s obligations to consumers move to increase.