I have negative balance due to multiple refund (-22000 euros)

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Seller_mvPss2IH3ARGS

I have negative balance due to multiple refund (-22000 euros)

Hi there

I have -22000 euros in my balance seller account (total in all european marketplace).

Yes, because two days ago, Amazon decided to refund all my customers for one product which has been classified as forbidden.

I sell other products on Amazon, and I will need probably more than 4 months to refund this amount.

Could you tell me if Amazon will deactivate my account before, I meant for example at the end of this month ?

If yes, I would not be able to make money, and consequently, I would not be able to pay the negative balance.

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Seller_76AUwmqvSyRIM

I don't think it will be in their interest to deactivate your account but they will try and take that amount from your card.

If there are no funds in that card, they may take you to court to be paid but this is probably unlikely.

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Seller_d8YGbIjNqwFxn

Do you agree with decision to mark the product as Forbidden?

If you don't I would challenge this and try to get the money back from Amazon.

There have been cases before where Amazon have incorrectly refunded all customer for a product due to them stating it has been Recalled (or similar). Sellers have then managed to argue with Amazon that the refunds were done in error and recovered their money.

Closing you company is not necessarily the right option. It depends how you are set up. If it is a limited company you can't just close this if you owe people money, you would need to look into putting the company into administration.

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Seller_RlZVPg3d6ZUGP

Depending on the reason, could you do an insurance claim?

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Seller_76AUwmqvSyRIM

It doesn't look like an insurance claim to me. Most policies would not cover a policyholder if they did something that was illegal, whether they knew it was illegal or not.

Food & cosmetics regulations are a minefield and many people make the mistake of assuming that because something is legal in the US, it is legal here (and vice versa).

It could be as simple as a colouring, preservative, labelling etc.

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Seller_RlZVPg3d6ZUGP
could you do an insurance claim?
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Seller_mS10UjVYuuGor

Lots of questions here.

Are you based in the USA or in Europe?

Did you knowingly list a product you were aware wasn't authorised in Europe?

If so did you try to hide it in some way e.g. by stating is was something else?

If you didn't intend to deceive, Amazon may have some culpability in allowing you to list the product in the European market in the first place. If a complaint was brought by European authorities that the product was for sale in their markets when they shouldn't be it would be Amazon they'd be going after.

Mediation might be a good way to proceed and if you can take independent legal advice.

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Seller_BZtrHUhneFeUl

Could you be more specific? What kind of product were you selling, why did Amazon classify it as forbidden, and why did they suddenly forbid it after previously allowing you to sell it?

It doesn't seem right. Ask legal advice it's a lot of money

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