Amazon, ECommerce

Federal Competition Authority initiates investigations against Amazon after Austrian Retail Association complaint

14.02.2019 - 13:56:27

Federal Competition Authority initiates investigations against Amazon after Austrian Retail Association complaint. Big bang in domestic eCommerce: Today the Federal Competition Authority decided to initiate an official abuse trial against Amazon, to prove the terms and practices of Amazon towards traders on the online marketplace amazon.de.

Vienna (pts019/14.02.2019/13:55) - Big bang in domestic eCommerce: Today the Federal Competition Authority decided to initiate an official abuse trial against Amazon, to prove the terms and practices of Amazon towards traders on the online marketplace amazon.de.

Five terms and behaviors of Amazon in focus of formal investigations

Amazon is by far the largest online retailer in Austria and also operates the largest online marketplace. Many retailers must rely on the reach of Amazon's marketplace for online sales.

Amazon acts as a gatekeeper to the domestic consumers. This dual role as largest retailer and largest marketplace holds the potential to handicap other traders on the platform.

The presumed abusive terms and conditions include: - Groundless and sudden blocking of trader accounts - Obligation to disclose purchase prices - Adding of incorrect shipping information towards merchants through amazon - Unsubstantiated loss of product rankings of traders and - Court clauses that complicate a lawsuit.

Until a final legal decision is made by the cartel court the presumption of innocence applies.

Austrian Retail Association acts as complainant

The Federal Competition Authority proceedings were triggered by numerous complaints from traders about the unfair business practices by amazon, which have been collected over several years by the Austrian Retail Association - spokesman and partner of the Austrian retail industry.

"For three years now, we have been showing where the problems are located. Ever since, politics has not been able to regulate the market meaningfully, despite all the efforts. At the end of 2018 we as first Association in Austria decided to lodge a complaint with the Federal Competition Authority to get the ball rolling." - Rainer Will, CEO of the Austrian Retail Association.

"Today is the day, the Federal Competition Authority officially initiated investigations. We as the complainant are very pleased about this fundamental and groundbreaking decision and will continue to work hard for 'Fair Commerce' in online shopping." - Rainer Will.

(Ende)

Aussender: Handelsverband Ansprechpartner: Gerald Kuehberger Tel.: +43 1 406 22 36 77 E-Mail: gerald.kuehberger@handelsverband.at Website: www.handelsverband.at

Vienna (pts019/14.02.2019/13:55)

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