Amazon Liable for Defective Third-Party Products Rules CA Appellate Court
californiaglobe.com
californiaglobe.com
Imagine you went into a retail store with a faulty product and they were to try fob you off saying you need to go to their supplier/wholesaler/manufacturer. It mostly doesn’t work that way thanks to most consumer protection laws in place.
The problem with being an "everything store" is that everything also includes an overwhelming majority of crap, looking at you crappy "genuine sony" camera batteries that held about 10 minutes of charge, fulfilled by amazon.
Amazon can't be trusted with high-ticket items, including but not limited to camera equipment. Go to B&H or Adorama, or Newegg or Micro Center for high-ticket computer parts (cf. the recent spate of GPU scams), or the like. And - preferably to any of those options - support your local small retailer, if any.
Most of the more boutique places I shop at use Shopify anyways so it's still pretty convenient.
To be clear, I suspect error and not malfeasance on Amazon's part. But I don't really care which it is, either.
This is not typically the case if you get a grey market lens on Amazon. It's also something you'll be told on the listing.
1. It's explicit 2. There is a discount
The worst possible outcome is paying legitimate prices and receiving a gray market item.
Now kindly stop playing your music so loud and get off my lawn.
Most retailers seldom care, as they have agreements and well established paths to dump the cost of returns onto the manufacturer.
It definitely doesn’t care if you don’t even notice. But they do the returns if you ask. The former is what needs to change.
I don't think most people here have any idea 3P/FBA selling works. It takes a lot of work to get listed and move into new categories, and you can be removed very quickly for the slightest of reasons. This goes to show the scale of the problem in policing logistics at this scale (not to say that Amazon shouldn't be responsible for it).
I am not new to 3P/FBA myself. I ran a store in my college days 2010-2012, and know number of Alibaba, and Amazon employees who were directly involved into managing vendors.
Among Chinese vendors, there is a very ambivalent attitude towards Amazon. People know that Amazon is at a times can be n-times more profitable than an analogous listing on Aliexpress, or any other smaller platform, but at the same time an extremely zealous enforcement is a giant turnoff to proper vendors.
Nobody who is ready to play "by the rules" goes to sell on Amazon among Chinese vendors because you can spend tens of thousands of bucks invested in the store for it be deletes without any questions asked.
Add to that that better vendors will not be bothering with creating shell companies, or using fake IDs to get Amazon verification. This way, Amazon has driven off the few proper vendors from China they had, and now they have to deal with fly-by-night, quick money types as they are the only ones who are ready to tolerate this treatment.
This was quite a few years ago now, I can only imagine Amazon is spending more money on the problem now vs then.
not to defend Amazon, but maybe the scale of the problem is too big - maybe there is a long tail of fraudsters similar to the long tail of illicit content on youtube.
This problem exists because Amazon wanted it to exist. They chose to do business in a way that avoids traditional checks and balances.
The scale of the problem is entirely on them.
There is no defense for Amazon. The solution is simple. Put back the ability to filter for items shipped and sold by Amazon.com only, and stop commingling inventory.
Amazon will never do this because they don’t want to be in the retail business with 3% profit margins, they want to be in the platform business with 15%+ profit margins.
Hence I take my business to other retailers willing to sacrifice some of their profit margin to ensure I don’t receive garbage the first time.
I could hazard a few specific ideas in Amazon's case, but really I'm just extrapolating from the fact that I've seen that this is how it generally works at any sufficiently large company.
They control the scale of the problem, and can raise the barrier to entry for new 3rd party vendors at any time.
They might be spending money, but that doesn't mean the money is actually going towards fixing the problem at hand.
When I go to return an item, I can't even select that the reason for my return is that I suspect or know that the item is counterfeited. I have to lie and choose between several somewhat related options like "Inaccurate website description" or "Wrong item was sent" among other things.
To me, it seems like if Amazon were serious about addressing rampant counterfeiting on their platform, they would collect stats from the customers that suffer from Amazon's lack of quality control.
> The classic "control fraud" https://en.wikipedia.org/wiki/Control_fraud strategy is to incentivise your subordinates to maximise revenues while "neglecting" to check that they aren't engaging in fraud to do it. Then you can protest your innocence when the fraud comes to light.
This seems to be a common pattern. Fly by night sellers whose pages disappear within a few days.
But I would imagine if you got in early enough, there weren't any negative reviews. There's definitely something wonky with how they aggregate reviews.
I see now Amazon has their own brand of battery. Presumably they don't have this problem. It's actually a pretty disgusting tactic: competitor brands are untrustworthy because of how Amazon handles inventory rather than the actual quality of the product.
I wonder what Amazon would do if you tried to sell your own Amazon batteries on their website.
Or is the problem that FBA sellers are infecting legitimate "sold by Amazon" inventory?
Only if you notice within the return window. They wouldn't refund our purchase of The Wire box set (when DVDs were still a thing) unless we got it "authenticated" as being a counterfeit by HBO, and even then they were extremely difficult about it.
18 U.S.C. § 2314 (1994)) (indicating that shipping counterfeit merchandise across state lines “may violate laws prohibiting the interstate transportation of stolen property”
I understand where you are coming from, but there are lots of consignment stores and flea markets, at least in the middle parts of the US. The person you pay at the front counter simply records the transaction for the merchant. Amazon is a sort of cross between traditional retail and a consignment store, so it's not obvious (or "common sense") where product liability should lie.
If a consignment store would allow random people from all over the world to sell illegal and dangerous goods with a fake ID while dodging taxes... would anyone find that tolerable?
Why accept the website equivalent?
[1] Starting from Page 17 -- https://cases.justia.com/california/court-of-appeal/2020-d07...
The last phrase you use continues to perpetuate the odd perception that Californians are weird extreme hippie aliens that Middle America should avoid at all costs.
And then, your comment simultaneously envies California’s strong worker and consumer protections.
It’s almost as if Californians aren’t weirdo hippies and they’re just normal people who have demanded and received robust environmental, safety, labor, and privacy protection.
I’d love to live in California right next to those weird Californians and be able to make CCPA requests. I’d also love for non-competes to be illegal.
It’s almost as if other states’ citizens have been failed by their governments in comparison, and/or their citizens are too unaware of these issues to have lobbied for data protection laws.
It has astonished me that a certain political party has just gotten away with labeling an entire state in our country as a bad place, especially one as big and diverse as California.
Maybe that certain political party would have a chance to win California if Joe from Texas didn’t think California was a Mad Max liberal wasteland and considered taking a new job there.
That said, California (like Texas) is a large enough state that you can find pretty much any community you feel comfortable with here. You can also find any climate you feel comfortable with (except for Arctic), and you can find a house at any price you may want to pay, but you may not be able to find a union of the choices.
As such, generalizations rarely achieve the goal intended unless that goal is to inflame.
An alternative would be establishing a similar legal notion of strict liability in the jurisdiction where you happen to reside. This requires that you give up none of the features of your current residence, rather it involves becoming more active in its governance which, frankly, is something I wish more people would do.
Yes, this is commonly secondhand goods. But not always. The shop in Winters is all new products, more like a brick-and-mortar Etsy. It's a thing.
Amazon isn't separate blocks of space, and merchants don't really rent their own areas. On a website that'd look like amazon.com/mycrapcompanystore/ or something.
As a customer I just go to amazon and search for what I want. They choose what specific items I should see, in what order, and I am barely aware of who actually sent the item to Amazon. You have to look pretty closely to even tell. In many cases it's just not even possible to choose, with the way Amazon combines their stock.
https://www.amazon.com/s?me=A30QSGOJR8LMXA
Overall I'd agree, though -- Amazon has gone out of their way to take focus away from the individual merchants on their site and give customers the impression that they're buying items "from Amazon".
I'm getting a widget that was pulled out of a co-mingled inventory box at some Amazon warehouse.
Amazon owns the entire shopping experience, end-to-end. They run the website. They design the website. They handle payments. They advertise the items ("Customers who bought Foo also bought Bar"). They handle shipping. They handle refunds. They handle warehousing.
But they don't seem to want to own the responsibility. I'm assuming that's because it's not the profitable part of this equation.
Like 12 years ago I used to build stock/cart systems for said drop shippers.
You can tell the difference when you buy, it's just not blatantly obviously unless the main Amazon listing is out of stock and you click on the "other sellers" link yourself. Go to your orders page and every product will tell you the "sold by" name.
I didn't know about it before, so I tracked it down and it sounds like such a nice place! I used to drive up and down 505 all the time visiting family in Oregon. It's been a while, but a stop in Winters will be in store for my next trip.
"a unique collection of vendors who work in partnership to market as a group and showcase the goods of several small businesses in one creative space."
It's a great place to get a hepatitis tattoo, scam "6,000,000-watt" car stereo amplifier, or dubious candles that all smell like crayons plus whatever they claim to smell like. And these days, covid too.
According to this ruling, Safeway, the delivery company, the guy who moved the boxes, and everyone in between you and the manufacturer, are all at fault.
Isn't that plain crazy? Safeway has no control over the juice in the box, except for being able to follow their own guidelines on refrigeration, and check the expire date.
Short of manufacturing their own laptops, how is Amazon to ensure those batteries won't malfunction. How is your corner 7/11 able to ensure that your Gatorade does't have piss in it. How is your gas station able to ensure that those M&Ms you bough don't have nails in them?
If you make stores liable for the products they sell, it removes all the incentive to make good products. Manufacturers can ship anything, who cares, the stores are at fault!
I am note sure what's the right answer. Just thinking out loud.
1. The customer only has to deal with the place they bought from. 2. Every merchant up the chain will have to go through their liability insurance to figure out who pays out.
Consumer protection laws are this way for a reason and when they're respected they work really well.
- The store refrigerators may have lost power. Those products are now waste or potentially hazardous and must be tossed. (Otherwise risky, temperature can be tracked, but in a loss of power scenario is more difficult)
- The delivery truck broke down. Perhaps the temperature in the trailer went above acceptable food safety thresholds.
- The packaging company potentially stored a product outside of the coolers, leading to a food safety hazard.
etc.
Some transportation companies even upload that to their freight dispatchers in real time.
I downvoted you because that's not what this ruling says. If you want to have an honest discussion be honest, don't use hyperbole.
Far from unheard of, sadly.
Even if the manufacturer refunds/replaces the item, I can see it being better for the manufacturer in some instances. If they are relying on store prominence instead of brand recognition, it's very important that stores want to actually carry those items, and low overhead return could factor into that.
If the manufacturer thinks a customer are missing some parts (for whatever reason, even if they broke them yourself) they will ship extra parts to avoid dealing with the store.
Everyone should know you never have to do an RMA if you don't want to and it's only been 30-90 days.
I've never been refused a return on any product from any brick and mortar store store unless it was for something I was explicitly told was final sale or it was my own fault by losing the receipt or destroying the packaging or something.
I even returned a $500 laptop to a Futureshop the day after getting it after dropping it off my lap onto the carpet and the screen completely dying. There was no hassle and I walked out with a brand new laptop.
This is reminding me of my friend who because of the work-from-home orders wanted a standing desk. He buys one, uses it everyday and then returns it a day before the last return day. He’s on his 5th one now. He absolutely has the money (software engineer). To me that’s outright fraud.
People who abuse return policies likely increase the prices for everyone.
It's just the store as the seller was taking on the responsibility for sealing with this as part of selling Toshiba products and the store and Toshiba are clearly alright with this arrangement.
They also can't charge restocking fees or refuse the return if you've destroyed the packaging. Losing the receipt possibly, but they need to be tracking sales as well and I think you would win that.
I bought a Sonata Antec PC case ~15 years ago. Quite expensive, first (and last) time I shelled out so much for a case.
The PSU was weird, it didn't work with my new mobo but did work with an older one. Got the mobo sent back for checking (I had to pay extra fees for “repairs“, bought in the same shop), came back okay.
A week of intense pondering with one of my friend on the floor of my bedroom. Two weeks top of back and forth with the shop.
Then it hit us: the 24watts 4-pin sugar was missing internal cabling. This explained the hit and off working.
Back to the store with the case and the PSU (again). I am told they won't replace it because it's not an hidden defect, it's a “physical damage” and I'd have to send it back myself to the manufacturer and they can't do anything.
I bought a 20€ no-name PSU on the spot and never again bought anything from this shop.
To this day I am still using all the clot I have on people asking for PC advice to convince them not to go there.
https://www.verbraucherzentrale.de/
https://www.consumidor.gov.pt/
And across Europe we have, https://ec.europa.eu/info/live-work-travel-eu/consumers/reso...
Usually those pesky shops get gently very quickly if you are willing to bring them into the fight.
Reliance is one of India's largest companies, they have a consumer electronics brand like Best Buy. The worst return experience I've EVER had was trying to return a DOA pair of Bluetooth headphones to them.
Their literal return policy is that you don't, unless it's defective, then you can exchange. It was only after opening two more pairs of Sony crappy-developing-market-special-models that were also defective that they refunded me and sent me on my way.
I have no doubt that the only reason they did that for me in the end was because I was a tall white foreigner.
Your experience in India would not be not unusual in NA for consumer electronics or computer components. "No returns, all defective products must be handled, at your shipping expense, by manufacturer's warranty" is a very common policy in this sector in North America, as is "final sale, even if defective or counterfeit."
What kind of monkey circus are we living in where this is not common sense. Is Amazon really taking the same position as OfferUp? https://www.youtube.com/watch?v=_bmBxQHbZQQ
Regrettable, when I lived in Bolivia I dreamed of being able to purchase things online. Having that security was priceless to me. Now that I live here it seems Amazon has become a fleamarket website. I buy things through Walmart now, only the things sold by Walmart themselves.
Have no idea how they are so dominant still when they seem to not care at all about these things.
I miss the days of PriceScan/PriceWatch and other comparison sites.
Recently I bought some new camera parts. I noted the price of the body and lens I wanted on B&H, Adorama, Newegg .. and then went to Google shopping and found a smaller store called TriState Camera out of NY. Their website is old school; but I saved nearly $400 of the big retailers for the exact same parts.
> (and a lot of times, it's cheaper outside of Amazon).
is not true. Amazon does not let sellers list products on amazon for a higher price than than what they list on the sellers website. It's 100% against TOS and they will shut down your listing if it's your first offense and will permaban you from selling if you continue to do so.
It has gotten to the point if a 3rd party seller is on an Amazon page, it is a no-buy.
Also, Target does have 3rd party sellers, but it sounds like they are doing it in a more constrained way. The program is called Target Plus. https://digiday.com/marketing/target-third-party-marketplace...
IMO BestBuy would have been better off extolling the virtues of having a trustworthy supply chain that doesn't circumvent regulations like Amazon does. Their retail business also means they have a better distribution system then Amazon, at least for now.
I wonder how many people buy the marketplace stuff because I know that when I go to BestBuy it's because I want something immediately or I want something where I don't trust Amazon (chargers, memory cards, etc.).
You can filter out third party sellers on Walmart's website and just buy what Walmart sells.
a) an Oximeter
b) a medical thermometer
c) a blood pressure cuff
These are all fairly relevant devices. Spend 10 minutes really researching the categories, and actually read the reviews (in particular the 5* and the 1* reviews). Can you find a combination fo devices that you're actually confident buying? It shouldn't be this hard.
The argument is that in a free market a consumer should have a choice. You want a great branded product, go with a known brand. You want to save money, try the little guy, with all the caveats that come with it.
There's a level of savvy everyone should have but doesn't; and I'm just not sure the best way to facilitate it.
Amazon.ca has become such a cesspool and so much worse in the past 6 months, I've just stopped buying from it.
If it’s something I’d consider buying from AliExpress but need it before 3 months from now, then I’ll go take a look on Amazon and pay a premium on the cheap Chinese stuff they sell to get it in a day or two.
Anything else... like others are saying, major retailers or manufacturer direct are the way I go.
What are those things, really? I don't know.
I hit Guitar Center instead, and there's this clearly presented list of brands that I mostly kind-of recognize, a simplified set of products.
The thing that amazon does really well is deliver things fast.
Generally that is what I try to do for anything I want to buy — get it from the producer directly. Sometimes it is prohibitive in some way (e.g. shipping time or cost) or more expensive but most of the time the experience is perfectly fine and I can be totally confident in what I will be getting.
Something I’ve learnt - a reason I’m tempted to shop at Amazon is because I have an account there. But many suppliers now allow shopify or Paypal without needing to set up an account. By avoiding the temptation to set up an account (ie ignore FOMO of offers), using other sites becomes as seamless as Amazon.
I now believe shops that push customers to set up accounts and don’t use shopify etc, drive people to Amazon for convenience.
I boycott Amazon. I feel jerked around any time I use their site.
Is Consumer Reports any good?
Sites like Wirecutter aren’t completely useless because they give a relatively decent overview. It’s just worth being aware most review sites border on being advertising, so they won’t tell you if a whole product category is trash.
By now every product listing on Amazon should be treated like SEO spam.
Plus there's now all these sellers trying to buy a 5 star review by promising a gift card. I recently saw a baby carriage with lots of 5 star reviews from teenagers who tried it out with plush toys because they didn't have kids yet.
Even when purchasing from "legitimate" product pages, they'll send you co-mingled counterfeits. You have absolutely no assurance that what you're buying is legitimate.
even with Amazon as the direct seller I don’t find them to be cheaper than other stores for almost anything. it’s really only when the pricing is competitive and directly from them where it makes sense to buy given convenience of fast shipping if you have Prime.
the only thing I can think of is their own private label, but even there it seems extremely hit or miss just reading some of the reviews - sounds like everything is just sourced from bottom of barrel Chinese manufacturers that slap an Amazon logo on things.
I usually find a brand name seller with a website or a specific part number.
Or if I don’t know/care about a brand I read some reviews and look at review pictures I don’t buy the cheapest item and still scrutinize best selling item.
The top results could be garbage as people are saying, but somewhere in the first page of top rated results is the best item for a great price.
In a rural place, prime is a huge time and money saver, have had good customer service. I still don’t think other online retailers have caught up to amazon, I hope they do .
Can someone link a product listing that they received a counterfeit from?
"HIFI Audio Decoder Amplifier - Aimpire AD10 MINI USB DAC CSS XMOS XU208 ES9018K2M OPA2134 Audio Amplifier Decoder"
This is a fake. Strange how the URL says TOPPING but the product is from "Aimpire". Aimpire has been photoshopped into some, but not all of the product pictures (where TOPPING is still visible in a few).
Turns out that Aimpire has had a contentious relationship with Topping (the designer and manufacturer of the real thing), started making their own (inferior and unlicensed) versions of the Topping product.
Looks like this one is "sold by amazon.com". Huh. Guess it slipped by their counterfeit checkers.
This is a strange case. The reviews seem to say people are buying the Topping product but getting the Aimpire product. But if you buy from this page, you're knowingly purchasing the Aimpire version. Are people buying Topping from another listing and getting this?
EDIT: never mind, looks like this product used to say Topping and was changed, and that's why the URL is still the original wording. That's clearly a scam then.
Amazon has responsibility for the shit they sell regardless.
What makes you think you're immune to the Arbitrary Hand of Amazon?
Wants to bear zero responsibility.
Why is it the retailer's responsibility, rather than the manufacturer's responsibility?
No store has the expertise to independently conduct safety testing of every item they sell. That would be ludicrous, whether you're a mom & pop store with 1,000's of items or Amazon itself with 1,000,000's of items. Plus it would be incredibly redundant.
What is the justification for this law at all?
(And if you say it's for international products, then the onus should be on the importer who takes responsibility on behalf of the manufacturer.)
EDIT: virtually every comment that has replied so far is talking about defects, warranty, etc. But that's not with this article is about -- it's about liability for INJURY which is a very different thing. It makes total sense that if a product doesn't work, you return it to the store and not the manufacturer. But if a product is dangerous I still fail to see how it makes any sense to make retailers liable rather than manufacturers. If you get a batch of improperly made baby formula that makes your baby sick... shouldn't the onus be 100% on the manufacturer? In what universe is a retailer expected to be liable for that? How would they ever know? If Nestle makes a bad batch... what good is it to go around suing Amazon, FreshDirect and 1,000 other local supermarkets? Shouldn't there just be a class-action suit against Nestle?
- They know who to talk to in case a product is defective. In most cases, it's easy to find out who was the original manufacturer (e.g. when their name is written on the box), but in other cases it can be quite difficult to find out who to go to if your product breaks.
- If the store is liable, it is in their best interest to not sell you products that are likely to break quickly. Alternatively, if the store still decides to sell those products, they will want to take the risk of breakage into account when setting the price. That means the price of the product is a more accurate representation of the value of the product.
Because the customer has a relationship with the retailer, not the manufacturer.
If this doesn't get overturned, I would expect Amazon to just require anybody who sells through Amazon or supplies Amazon with products to provide indemnification of some sort. Either that or they would just buy insurance to cover payouts due to defective products and their margin would shrink by some tiny amount.
As a customer I can't be expected to know about the intricacies of the supply chain for every product I use, so I establish a relationship with one entity - the retailer.
My thinking is precisely opposite.
Because I can't be expected to know about the intracacies of the supply chain, I consider the quality to be determined by one entity - the manufacturer.
I trust Crest toothpaste over some no-name generic toothpaste that might be made by anyone precisely because it's Crest. I can buy it from the immigrant family which owns the corner bodega, and I don't have the slightest idea where they buy it from... but it's still Crest.
In my mind, my primary relationship is with the brand. The retailer I couldn't care less about.
Also, I don't want my health to be determined by where the store sources its stuff from. I want that to be determined at at a governmental level, by the FDA. Sketchy formula shouldn't be allowed in the country in the first place. It's the importer who should be held criminally liable. Again, what does a corner bodega owner know about determining the safety of consumer products? It's the government's job to set safety standards, not store owners making their own uninformed decisions.
So yeah, you can trust the brand, but if a retailer has no incentive to keep counterfeit products off the shelf there's no guarantee your toothpaste is actually being supplied by Crest. You aren't going to have much luck suing a counterfeiter in a foreign country, especially since they'll be set up to disappear.
It's important for everyone in the supply chain to be liable and making the retailer liable to the consumer is the easiest way to do that. If a supplier sells a retailer a fake unsafe product and the retailer gets sued because of it, the retailer can sue the supplier. If the supplier is buying from a respectable manufacturer they can sue the manufacturer (or settle with them).
As soon as you make the consumer go directly to the supplier or manufacturer, there's a huge incentive to set up a supply chain like Amazon has where a ton of low quality garbage gets foisted onto consumers and there's no recourse because all of the liable parties are in foreign countries.
First of all, how is a retailer supposed to vet their suppliers? They don't have the expertise or time to audit the supplier's own supply chains.
Second, if the (non-counterfeit) manufacturer puts out a shoddy batch, it doesn't matter which suppliers it goes through. Why should the store be responsible for the shoddy product when it could have come through any supply chain?
And third, I don't think lawsuits work the way you think they do. If you get sued, you can't just sue your supplier to pass it on and be done with it. You still lose $$$$ hiring lawyers.
You're seizing on the idea of counterfeit products, but I'm not talking about counterfeits. I've never seen or heard of counterfeit toothpaste in my life. And I'm not talking about foreign producers either -- if you import it, then you're liable.
I'm talking about a store purchasing merchandise from a domestic supplier that is genuine. If that merchandise produces injuries, why on earth would the store be liable, instead of the manufacturer? It makes zero sense.
For stuff that’s shipped straight from China to the consumer, whom do you propose should be liable when a product catches fire? I think that’s the situation in this case - the court has ruled that Amazon is responsible.
This isn't about safety testing, this simply means that a mom&pop store needs to either trust the manufacturer, buy insurance for defective products or contract with the manufacturer so that they can just send back defective items in bulk at non of their cost. Up to them.
In germany this works perfectly fine with mom&pop stores.
Short-term, at least one idea to fix this is to implement more stringent checks/QA with their FBA policies. Do more stringent verification of imported items going into Amazon FBA warehouses. Or at least add a mark to branded items received from other third-party sources. Simply adding "Shipped by: X, Sold by: X" text on the product page doesn't really help.
There's probably other/better ideas out there. This has been a recurring problem that has kinda gotten swept under the rug so far, but at some point is going to need to be reckoned with.
If Amazon wants to be the best customer experience, then it has to position itself in such a way that it does not devolve into one big flea market + Aliexpress + dropshipping junk bin.
That is the trick. If short-term Amazon accumulates enough money it can later on purchase businesses with a better reputation and repeat the trick again.
I have seen this done by General Electric. It purchases a medium size company with good reputation and loyal customers. GE reduces costs (quality, employee salaries, etc.) and milks the cow for a decade. When many customers have left because higher prices and lower quality then GE sells the company and repeats the trick with a new one.
For mega-corporations there is no incentive for quality beyond what regulations force them to assure by law. Making Amazon liable for defective 3rd party is the only way that Amazon will care about fraud and counterfeits.
The people need to cede power from the Capitalists sufficiently to do that in USA; apply some democracy to the situation.
We need to build longevity into our planetary systems of production.
How can I know for sure though? How does Amazon know for sure? Since that experience I have looked at Amazon in a different light, and I've realized how difficult it is to source name brand products with confidence.
This is as good a time for blockchain as any. Register genuine products on a blockchain and have them scanned once they hit the Amazon warehouse to ensure they are authentic.
The basic problem is solveable without blockchain by simply registering products by their serial number on the brand's website, which a lot of brands actually already do for higher priced products.
You buy them wholesale from the manufacturer?
This has been a solved problem for any legitimate business. The only other place I've seen such lack of quality control were at flea markets, which doesn't say anything good about Amazon.
The problem is that manufacturers need to opt into it and there is no way as a consumer to tell on a product listing whether or not the product is part of the registry.
Amazon doesn't even do this, though.
Recently I was helping someone look for memory on Amazon. We couldn't tell the difference between two different listings for crucial ram, both with the same model, speed, size, etc. Figuring out who the seller was can be difficult; the place that used to say the store name simply had a link to Amazon's products manufactured by Crucial. We eventually noticed that in the comparison at the bottom it says who's selling the product you're looking at; searching the page for this store name found no other instances of it.
Short term, it would be a good idea to fine Amazon $1,000,000 a day until the problem is fixed.
There's no way Bezos doesn't know how to fix this, he's a smart guy.
It's inexplicable that search/discovery and commingling of substandard/counterfeit merchandise are not both considered five-alarm fires at Amazon HQ.
Prohibit Amazon doing business until they fix the problem.
You can bet the problem will be fixed overnight.
My wider point is this: Bezos knows this is happen, and the only way he gets away with it is because the USA doesn't have enough consumer protection and no desire to.
This has gone beyond fraud, it's abuse of customers.
The system should also be holding anyone in the decision tree accountable for fraud: something like "if test purchases show fraud in >1:20 cases then CEO fine := last month's income from all sources".
Some counterfeiters are of course, shit, so it’s pretty easy for most of us to notice when we order a board game and all the text on the cards is 20% off of centre. But you have to figure that somebody out there is capable of taking a high resolution scan of the materials and printing it without making obvious mistakes like that.
And like... in Apple’s testing over 90% of Apple accessories (chargers, cables, etc) were fake. Obviously they’re outwardly convincing enough that 90% of people aren’t returning them despite dropping $35 on a USB cable that’s worth about $4 from a third party. A lot of the counterfeit chargers are outwardly identical — unless you tear them apart to see where they’ve cut corners and risked burning your house down you’re never going to know.
So my initial question still stands on what people are complaining is rife with fakes and knock-offs. It seems to be quite niche electronics (huge hard drives, computer components, etc)
And if the knock-offs are so good (in your game example) that the end user can't tell the difference (and no one else can either), what does it matter?
But that's just my personal preference.
You've completely skipped over "90% of Apple products are counterfeit". They are not niche, are not easily discernible, and pose a safety hazard.
It definitely looks like Amazon is going to have to accept strict liability in California. That will make it interesting to see what they do. Do they leave California? (their biggest US market) or do they clean up their FBA act? I'm hoping for the latter, as the justices argue in the decision that is exactly the intent of California's strict liability.
Sellers then might need to increase prices for goods shipped to California. Alternatively, they could be "not eligible for shipment to California".
That seems a scam scheme. They send fakes and for the people that complains they send the real deal.
> my review never saw the light of day
Amazon does not want to give a good service, Amazon wants to sell products. Your review could have negatively impacted Amazon sells.
I doubt that, currently, there is any law that forces Amazon or any other website to publish all reviews. They can pick and choose to float or sink any store.
Of course none of that means they don't rig the review system, although the presence of products with near universally bad reviews would indicate that, if they do rig reviews, it's not a general practice.
No, in my experience, while Amazon is bad in plenty of other ways, good service isn't one of them.
As far as I can tell, there's no way to communicate this to a human. I'm not impressed with their service.
seems like Amazon was trying to hide the fact that this kind of stuff could happen on their platform
Product reviews that are not about the genuine product are not allowed (as they are shared between all sellers).
Seller issues should go to seller feedback.
Consumers currently get blamed for this (eg [1]), sometimes through absolutely no fault of their own. Imagine walking into into Best Buy or Macys, buying something, and then getting in trouble for buying counterfeit goods.
Just watch how quickly that problem gets solved once Amazon is liable.
These companies really want the best of both worlds. Amazon wants to own the customer relationship but have none of the responsibilities ("we're a third party marketplace"). Uber wants to control what drivers do (as in, not drive for Lyft at the same time) but not have them as employees. Airbnb wants to run (illegal) hotels by arguing they aren't running hotels and it's really the hosts who are responsible.
It's all kind of ridiculous.
[1]: https://www.racked.com/2018/1/8/16849298/amazon-counterfeits...
I think this will only hurt Amazon where there is some injury beyond a defective product. Amazon already uses its contracts and terms of service to push the cost of returns and such to the third party supplier. Amazon will do its best to deflect most or all of the pain through better contracts.
[1] https://www.insurancejournal.com/news/national/2019/07/08/53...
That's how it works in all of EU already - the seller is responsible for sold items, because....it just makes more sense?
Ofc, in some cases contacting manufacturer directly is a decent option.
Granted, whoever pays in name, the cost will be passed on to consumers.
At least, it incentivizes Amazon to chase the culprits. The question is whether that incentive is big enough for them to fix / improve things.
"Pay as little as possible for quality assurance, down to a floor of $0"
to
"Pay as little as possible for quality assurance, down to a floor of $whatever number would convince a court that we made a good faith effort to prevent knockoffs."
As Amazon customer, who had its fair share of bad experiences with items in recent years, I'm ok with prices going up. I've never used Amazon because of the prices, but because of comfort and safety. I'm willing to pay extra to get this back.
https://battlepenguin.com/tech/the-death-of-the-mom-and-pop-...
I imagine this wouldn't affect eBay since it's clearly a site where you are buying from a seller. eBay is more of a newspaper listening. But what about Newegg or Reverb which try to create these tight models just like Amazon so you're not always sure who exactly you're buying from? Newegg even does the "sold and shipped" by newegg (it's not clear if these are actual products from newegg inventory or if they are leasing warehouse/inventory pipeline like Amazon).
I just go to Costco and Walmart now for 99% of the things I used to buy on Amazon.
eBay does not use a consolidated product listing, much more like a bulletin board each sellers products being sold under it's own URL. Amazon consolidates the listing for all sellers into a single product and uses their own ranking algorithms to determine which seller is in the "buy box" (which accounts for 97% of the items sales velocity). Amazon treats the entire experience as their transaction, they anonymize the emails and don't allow sellers to send follow-messages to clients or market other products to them (package inserts). The cart-checkout process isn't broken down by seller either, it's a unified payment and "1 click" checkout. I don't feel bad for Amazon at all - they've had it coming!
FWIW .. I was the first person (as a 3rd party) to develop an integration with Amazon's marketplace. I also personally won eBays' star developer award. I recall the year the Internet Retailer show was in San Diego and Amazon didn't have an employee there. It was against Amazon corporate rules to allow employees to spend the night in CA in fear it would create sales tax nexus. Amazon employees would need to fly back to Seattle and then fly back to San Diego if they came down for a friday meeting and wanted to spend the weekend on personal time! Amazon has gamed the rules, they compete directly with their clients (sellers) using the sales data to decide what product to source. They ran their warehouses as 3rd party entities to avoid nexus and begrudging accepted 3rd party (non-Amazon owned) sellers when the courts ruled that wholly owned entities would create sales-tax nexus. I feel no pity for them.
Are you sure about that, I get emails from 3rd party sellers pressuring me to review the items all the time.
That hasn't been true for a quite a while. They changed this because product liability lawsuits used this to argue Amazon owns the customer relationship. As a result there were several HN posts outraged about no longer having privacy when purchasing products.
Try searching for a product on ebay right now and it's the exact same experience as Amazon. Both Amazon and Ebay's algorithms determine which usb drives show up first when searching for "usb stick", which is where 99% of their commerce is coming from.
This is the top result of my search for "usb stick" -- a seller with 28k transactions and 100% positive feedback. https://www.ebay.com/itm/SanDisk-Cruzer-Blade-Flash-Drive-8G...
There's tons of e-shops. Telling apart which one is shady and which one is not is really difficult. Amazon used to be trustworthy in my eyes and that feeling has faded.
I can't say bad words about the EU version of amazon when it comes to customer service. Yes the counterfeit stuff is there but the free returns mitigate that.
To the grandparent poster: you wont be able to order e-books off the uk version... and would have to use .com one.
As a frequent traveler across the EU, this bit me both on amazon.de/fr.
I'm not sure if there are exceptions to these rules, but free returns are frequently only free if within the same country and it's not unique to amazon.
That is false - I do order outside and it costs around 10 + 10euro/kg for around 7-10days delivery (express within 2-3days is around double). When I returned anything (3x times) - amazon paid back the shipping costs, BOTH my own sending and the bill sending back to them. If the item was part of a bigger order, they paid back partially my own cost for sending it to me initially. And they always foot the bill for the sending back in full.
More also, there was a hard drive that failed 2nd day I installed, I complained, they called and did send one immediately prior I even returned the original one to them, which they reimbursed the bill for. The drive arrived the next day (shipped by courier/air). Like I've said - I cant say bad words about their service in the EU.
On the other hand, the vast majority of report of counterfeit anecdote I have seen indicated they bought from 3rd party but with FBA. So me personally I still place trust on Sold By Amazon product.
More recently I have seen product where that explicitly points out that Sold By Amazon is "authentic", which is kind of funny and sad. (energizer battery)
eBay does not meet the second qualifier and rarely meets the last. Additionally, it is more obviously a marketplace - the seller of a given item is highlighted and their credibility made known in the form of their star ratings. Amazon de-emphasizes the seller name for non-Amazon sellers and completely hides their rating on the product page.
Of course, the only way to know for sure is if eBay's liability is litigated.
Was stored in an eBay warehouse: No, eBay does not have warehouses.
Had facilitated payment: Maybe, but eBay typically just links one Paypal account to another Paypal account. eBay does not actually touch the funds. (Paypal has been it's own separate company for awhile now.)
Shipped it out in eBay packaging: Unless they're using a service, typically shipping is up to the eBay seller.
So I doubt this ruling affects eBay.
They do now. They are in the middle of moving most of their sellers to a program called Managed Payments. eBay handles the payment processing through the program. Sellers do not receive money via paypal, but their own bank accounts. eBay batches the proceeds of the sales and ACHs the money daily M-F.
The transition is ongoing, but the goal is all sellers with stores will move to it eventually.
https://pages.ebay.com/seller-center/service-and-payments/ma...
eBay used to have a service where you could take any random junk to their mall kiosk or a FedEx store and eBay would sell it on your behalf. That would pretty much require them to have warehouses.
Is that service dead?
> The Appellate Court didn’t agree with Amazon’s stance, noting that the product had been listed on Amazon, was stored in an Amazon warehouse, had facilitated payment, and shipped it out in Amazon packaging, proving it to have a hand in getting it to Bolger and thus being liable under California law.
But not as many back here in India. I've bought electronics, chairs, phones and appliances without too much hassle. Always with fulfilled by Amazon though.
I'm curious if the problem is more prevalent in different locations.
Ebay, Walmart, NewEgg, all the app stores on every platform - if a game is malware (or trashes your machine with a bug), is that Steam's responsibility? It's delivered from their servers with their packaging.
Strict liability means even if they do all of those things they are still liable.
Want to peddle chinese crap? Be responsible.
I must not be the only one with good experiences if they're doing so well. Then again I also check to make sure I'm buying direct from Amazon and reading the most recent verified purchaser reviews for any expensive items.
However this ruling needs clarity since Ebay would also qualify, especially since they also handle payments now instead of using Paypal, and potentially Shopify as well.
EDIT: what are people disagreeing with?
Disagree with the context: You're making the mistake of saying that you do things the proper way and if others would follow your lead, they might have better experiences also. People who have been wronged don't like to hear that other people think it's kind of their fault. Not saying you think, or said, this: but there's a bit of victim-blaming going on. This should not be something Amazon customers need to worry about. And for the record, I am less careful than you. But it's possible that the products I purchase are less attractive to counterfeiters...
Disagree on the comment about eBay. They do not warehouse or ship. It is very clear that the seller is responsible for product description and delivery.
Did not downvote. :)
Most products I don't really check and have been fine. What I was trying to convey was that expensive, specialized or esoteric items have more scam potential which should require more review before buying (not that Amazon isn't still at fault).
However people are claiming here that 95% of orders are bad and that's just hard to believe. The business would collapse tomorrow if that were the case for any serious number of people, and why would a person keep buying if that's all they were getting?