Amazon Sellers Sued for Fake Reviews

amazon sellers sued fake review lawsuitWe all know that soliciting “fake” reviews for your listings is against the policies every Amazon seller agrees to. But now, Amazon has begun pressing charges against sellers who solicit reviews to get a leg up on the competition in the particular niche.

Yes, it’s true – today, the headlines confirm three Amazon sellers sued for fake reviews. This is all part of a much larger effort to battle the issue of “black market” reviewers, such as seller-to-seller forums on social media and additional Amazon accounts.

Amazon.com has been known to take legal action when it comes to fake reviews to preserve the integrity of their customer service. In the past year, the platform has sued over a thousand “black market” reviewers, or individuals who post fake product reviews for sellers for payment. But this is the first occasion where Amazon is suing the sellers individually for utilizing outside accounts to post positive reviews for their own products. The sellers involved include Michael Abbara and Kurt Bauer, both third party Amazon sellers from the United States, along with a company from China titled CCBetter Direct.

Naturally, the three sellers currently being sued for manipulating reviews took it to the next level – the percentage of reviews that they wrote personally to boost their own products comprised about 30-45% of their overall reviews.

 

What Does This Mean for Amazon Law?

This new development in Amazon law means these three Amazon sellers sued by the platform may be liable for up to $25,000 including their profits, plus damages and the cost of attorney’s fees. As of this morning, Amazon demanded arbitration – that means the cases will move more quickly, outside of the courtroom, and away from the general public.

Amazon stated that their intentions to keep all reviews on the site 100% honest and authentic is in line with their dedication to customer service – real reviews from real buyers help consumers make better decisions while shopping online. Their mission of fighting off the issue of fake reviews utilizes tactics such as Amazon seller suspension, withholding seller funds, and assigning guilty accounts to the dreaded “Amazon blacklist” – that means the seller is banned for life with no chance of reinstatement. Soon, Amazon’s algorithm will be updated to automatically detect the fake reviews, which will put this process on autopilot and ultimately result in many more Amazon sellers sued.