Business

Amazon to pay out over defective third party goods

August 11, 2021 1:46 pm

[Source: BBC]

Amazon has said it will compensate customers who suffer injury or property damage from defective goods sold by independent sellers on its US platform.

From 1 September it will pay valid claims of up to $1,000 (£720), which make up more than 80% of injury and damage cases on its site, it said.

It may also cover claims for higher amounts if sellers are “unresponsive”.

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It comes as the shopping giant faces mounting pressure over product safety, following a series of court cases.

In July, Amazon was sued by the US Consumer Product Safety Commission in an effort to force it to recall hundreds of thousands of goods.These included faulty carbon monoxide detectors, appliances without sufficient protection against electric shocks, and children’s clothing that did not meet fire standards.

More than half of the goods sold on Amazon now come via third-party vendors, but they are largely unvetted before being sold.

For years, consumers have tried to hold the shopping giant to account over faulty products sold by third parties, but the firm has maintained sellers themselves are responsible – a position which has been backed by most courts.