Retail giant Amazon can be held accountable for unsafe products sold by third parties on its online store, the U.S. Consumer Product Safety Commission said Tuesday.
In a unanimous decision Tuesday, the agency ruled that Amazon is legally a distributor for products sold through its online store, including by third-party sellers. This means the company bears legal responsibility for the recall of any defective, unsafe or faulty products.
According to Amazon, nearly 60% of the company’s sales come from independent sellers.
The agency said it has found over 400,000 products that should be subject to recall in Amazon’s stores, including faulty carbon monoxide detectors and flammable children’s sleepwear.
“Amazon failed to notify the public about these hazardous products and did not take adequate steps to encourage its customers to return or destroy them, thereby leaving consumers at substantial risk of injury,” the commission said in a statement.
Under the commission’s ruling, Amazon must submit plans to inform consumers of hazardous or faulty products and propose how to remove them from circulation.
Amazon said it disagrees with Tuesday’s ruling and plans to appeal, saying the company has a recall notice program in place to protect its customers.
“We stand behind the safety of every product in our store through our A-to-z Guarantee, regardless of whether it is sold by Amazon or by one of our selling partners. We have proactive measures in place to prevent unsafe products, and we continuously monitor the listings in our store,” Amazon said in a statement. “If we discover an unsafe product available for sale, we address the issue immediately and refine our processes.”
Tuesday’s decision is a major development in the legal debate over what party is responsible when a product fails. The CPSC first sued Amazon in 2021, arguing that the company sold dangerous products to its customers. While Amazon has claimed that it swiftly informs customers about potentially dangerous products and offers refunds, the commission argued that it doesn’t go far enough.
• Vaughn Cockayne can be reached at vcockayne@washingtontimes.com.
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