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Thu, 14 Nov 2019 21:58 GMT

Amazon Fined €4 Million in France for Marketplace Terms

Business

7Dnews London

Wed, 04 Sep 2019 17:21 GMT

A French court has fined the US retailing giant Amazon €4 million over terms of use deemed unfair for companies using its online marketplace to sell their goods, AFP reported on Wednesday September 4th.

"It's a record fine" for a lawsuit involving abusive commercial clauses, said Loic Tanguy, a director at the Direction Générale de la Concurrence, de la Consommation et de la Répression des Fraudes (DGCCRF), France's consumer and anti-fraud watchdog.

DGCCRF filed its lawsuit in 2017 after a two-year investigation into third-party vendor platforms, which found several clauses that were potentially unfair to the 10,000 small and medium-sized French companies selling on Amazon.

Despite the obvious advantages for companies using Amazon, Tanguy said, the "asymmetrical balance of power" must not force vendors to accept unfair terms of use.

"The court ruled on a limited number of clauses, most of which were already updated earlier this year," Amazon France told AFP late on Tuesday.

"The development of the digital economy is a tremendous opportunity, as long as the big marketplaces respect competition and consumer protection rules," Finance Minister Bruno Le Maire tweeted on Wednesday.


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