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An Amazon Seller Attorney Explains False Positive Related Account Suspensions

Mon Jan 17, 2022 Selling on Amazon

In an effort to catch bad actors on the marketplace, Amazon continually refines the algorithm used to identify connections between deactivated seller accounts and active seller accounts. However, these algorithms are far from perfect and thousands of third-party seller accounts are shut down by mistake every year. 

Unfortunately, when you get suspended due to a related account, Amazon does not provide information as to why or how they determined that your account is related to a suspended account. This places sellers in a difficult and unfair position without an opportunity to respond to the alleged evidence against them. 

Why Doesn’t Amazon Allow Multiple Accounts to Sell the Same Inventory? Our Amazon Seller Attorney Explains

There are several reasons why Amazon has initiated the rule that the same seller may not operate separate accounts selling the same inventory. This includes:

  • To prevent bad sellers from having multiple accounts that enable them to continuously appear under different names while always up to the same tricks
  • To prevent a seller’s ability to price tweak
  • To prevent the sale of counterfeit products 

Ways to Prevent False Positive Related Account Suspensions

There are steps you can take to help prevent your inappropriate suspension when you have two different accounts. 

  • Have a valid business reason for using more than one seller account. For example, having multiple accounts to sell different product types, such as one account for clothing, another for kitchenware.
  • Ask for Amazon’s pre-approval for two separate accounts. 
  • Never sell the same inventory on two different accounts. 
  • When operating more than one account, keep EVERYTHING separate. Each account must be its own completely separate business entity. Make sure your employees are properly trained on the necessity of keeping everything between the two accounts separate.

If you only have one account, triple-check to be sure there is no link between your Amazon seller account and another seller account. For example, make sure there are no overlapping account numbers, bank accounts, email addresses, or IP addresses. An example of when this may occur is when you previously operated an account with someone else but have now decided to go separate ways. 

Speak With An Amazon Seller Attorney at ESQgo

If your account has been suspended due to an incorrect assumption that you are operating two separate but related accounts, you likely won’t be given much information from Amazon as to why this has happened. Not being given a reason is very frustrating, especially considering that the process to have your account reinstated can be tedious and end up costing you significant revenue in lost sales. 

Contact our firm to speak with an Amazon seller attorney who understands Amazon seller suspensions and reinstatements. You may even be a perfect candidate for our trademarked Synthetic Arbitration option, which is specially designed to resolve more complex issues related to your Amazon legal needs. We may be reached by calling 888-600-1925 or via our contact page.