Of course, and they do it out of self-interest. On one hand, 495 dollars are not worth losing a client for life. More importantly, it is not in their interest to scare people away from using their service. The story could spread and cause significant damage to their reputation.
> On the other hand, if the matter is reversed, Amazon is expected to be a good sport and take the loss
Yes, because the situation is asymmetrical. Amazon is afraid of losing customers, but customers are not afraid of losing Amazon.
> I just think it’s amazing how frail people’s morality is, how it goes out the window when certain conditions are met.
I don't think that the majority of people nowadays believes that "the system" is fair. Most people perceive the game as rigged in favor of the rich and powerful, so they feel no moral obligation towards them.
But you are right, human beings are depressingly flawed. Many people will steal or take an unfair advantage if they know they won't be caught. The customer taking advantage of a mistake to receive an unfair deal and Amazon not paying taxes are more or less the same behavior.