Amazon – Estonian Company Seeks Justice: Files Police Complaint Against Amazon Over Account Blockade
WALLPROFIT OÜ files police complaint against Amazon, accusing the tech giant of illegal account blockade and ‘digital robbery’.
Tallinn, Estonia — In the rapidly evolving world of e-commerce, the Estonian company WALL PROFIT OÜ suddenly found itself at the center of a serious conflict with Amazon. In April 2023, despite a formal warning that lacked any substantiated reasons, Amazon unexpectedly froze the company’s account, completely restricting access to financial resources and goods totaling approximately 680,000 euros. According to representatives from WALL PROFIT, these actions not only paralyzed their business but also deprived them of the ability to maintain communications with suppliers and clients, critically affecting their operational activities.
On April 24, 2024, feeling a pressing need to protect its rights, WALLPROFIT OÜ filed a criminal complaint with the Tallinn police against the actions of AMAZON Services Europe S.A.R.L., related to the possible appropriation of goods amounting to 323,872.56 euros and 321,927.87 euros, in an attempt to seek justice and ensure that wrongdoing is punished.
From burgeoning million-euro business to sudden stagnation
In the two years prior to the incident, WALL PROFIT OÜ not only confidently announced its presence in the market but also demonstrated rapid growth by selling electronics, mobile phones, accessories, and computer components through Amazon. Founded by a small team of enthusiasts, the company started with minimal investments but quickly gained consumer trust through strategic product assortment and customer orientation.
In a short span, WALL PROFIT OÜ developed an efficient logistics network and quality control system, allowing not only an expansion of sales geography but also a significant increase in volume. The company’s turnover exceeded 3 million euros, and it seemed that growth would continue. However, the account blockade occurred at the most inopportune moment—during the peak of spring sales, just as the company began to realise significant revenues from its platform activities.
As stated by the chairperson of our company’s board, we have not only developed and implemented innovative methods of customer service but also significantly enhanced our communication and expanded our product selection, which attracted a large number of new customers. However, the blockade of our account was a significant setback; it resulted in the loss of our inventory and disrupted our usual business operations. The impact extended beyond mere financial loss, halting all our ongoing business processes, configurations, advertising investments, and overall development.
Amazon’s actions left WALL PROFIT OÜ facing serious financial and operational difficulties, threatening not only current operations but the future of the company as a whole.
Legal assessment by experts: Fraud and violation of commercial rights
Legal experts, having reviewed the documents of the case WALL PROFIT OÜ against Amazon, confirm that Amazon’s actions could be classified as fraud according to Article 217 of the Estonian Penal Code, which stipulates liability for fraud committed by misleading, leading to the transfer of property rights or the right to manage property. The experts also refer to Article 203, which describes liability for breach of trust, potentially applicable in this situation.
“Such actions not only violate the fundamental principles of contractual relationships but also undermine trust in the rules of trading platforms, which is extremely important for fairness and equality among all users,” says one expert. Additionally, Amazon’s actions are seen to violate Article 209 concerning abuse of official position, which could lead to imprisonment or other serious legal consequences.
The experts also emphasise that the lack of adequate explanations from Amazon and the unilateral decision to block the account may breach Article 12 of the Estonian Code of Criminal Procedure, which ensures the protection of human rights and fundamental freedoms, including the right to fair and impartial treatment.
“This case highlights the critical need for transparency and fairness in managing platforms that depend on the success of numerous small and medium-sized enterprises,” adds another lawyer. “Should it be confirmed that Amazon abused its position, this could lead to significant fines and possibly even a review of licensing conditions for operation within the European Union.”
Response from Amazon and legal consequences
Responses from Amazon followed, yet they resembled more of formal dismissals lacking concrete actions or explanations. The company’s replies seemed almost mocking, given the seriousness of the situation: instead of resolving the issue or providing information about the reasons for the blockade and ways to resolve it, the responses were opaque and inadequate to the circumstances. As the correspondence dragged on, the funds and goods of WALL PROFIT OÜ remained inaccessible, effectively leading to their disappearance without the possibility of recovery.
Legal experts we contacted emphasise that this case poses serious questions for regulators and the legislative system protecting the rights of sellers on international platforms. They point out the need to strengthen accountability mechanisms for platforms like Amazon to prevent the possibility of arbitrary and uncontrolled application of their internal rules at the expense of the legitimate rights and interests of sellers. This situation underscores the necessity for stricter regulation and transparency in the actions of major tech companies, as well as the creation of effective legal tools to protect market participants.
Potential repercussions for the e-commerce market
Experts warn that such incidents could undermine trust in major trading platforms, underscoring the need for stricter rules to protect sellers from arbitrary actions by companies like Amazon. “This case reveals serious problems in the platform management system that require immediate examination,” states a professor from the law faculty at Tallinn University.
Seeking Justice: WALL PROFIT OÜ’s Legal Battle Spurs Call for Transparency and Fair Play in E-commerce
As WALL PROFIT OÜ continues to navigate this complex legal dispute, it is preparing for further legal actions and advocates for clearer regulations that protect sellers on large online platforms. This case could set a precedent that might encourage other companies to speak out and demand fair treatment and transparency.
We invite our readers to share their own stories about disputes with platforms and to suggest ideas on how these issues can be resolved. For more information on this case and related topics, please refer to the links to detailed analytical materials and current updates.
The story of WALL PROFIT OÜ with Amazon not only challenges one of the world’s largest tech giants but also raises questions about the protection of small and medium-sized businesses in the digital age. The outcomes of this case could have far-reaching effects on the relationships between trading platforms and their users globally.
