ARTICLE
5 March 2020

Amazon Removes More Than One Million Products For Inflated Prices Or False Coronavirus Claims

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Frankfurt Kurnit Klein & Selz

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Amazon may take action, including removing the offer or suspending the seller.
United States Media, Telecoms, IT, Entertainment

Amazon said that it has removed from its platform more that one million products -- such as face masks and respirators -- for price gouging or for making false health-related claims related to the coronavirus. Amazon said, "There is no place for price gouging on Amazon."

Sellers on Amazon are required to comply with Amazon's Fair Pricing Policy. Amazon's policy says that if Amazon sees a pricing practice that "harms consumer trust," Amazon may take action, including removing the offer or suspending the seller. The policy also prohibits:

  • Setting a reference price on a product or service that misleads customers;
  • Setting a price on a product or service that is significantly higher than recent prices offered on or off Amazon;
  • Selling multiple units of a product for more per unit than that of a single unit of the same product; or
  • Setting a shipping fee on a product that is excessive.

As fears about the coronavirus spread, we're starting to see social media and other platforms take action to prevent various types of deceptive and unfair practices. For example, last week Facebook announced restrictions on coronavirus-related advertising.

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