Amazon gets $98,000-a-day fine over 'abusive' contracts

It also urged the platform to conform with European rules on equity and transparency for firms using online platforms

By AFP

Published: Apr 14, 2022 11:53:08 AM IST

Updated: Apr 14, 2022 01:11:02 PM IST

French authorities have slapped a 90,000-euro-per-day fine on Amazon. Image: Thomas Samson/AFP

Paris, France: French authorities on Wednesday slapped a 90,000-euro-per-day ($98,000) fine on Amazon until it removes abusive clauses in its contracts with businesses using its platform to sell their goods.

The anti-fraud DGCCRF service said the online sales giant's contracts with third-party sellers who use its Amazon.fr website contain "unbalanced" clauses.

"The company Amazon Services Europe did comply completely with an injunction it was served and it is now subject to a fine of 90,000 euros per day of delay" in applying the changes, the DGCCRF said in a statement.

It also urged the platform to conform with European rules on equity and transparency for firms using online platforms.

Amazon said the order would harm consumers.

"The changes imposed by the DGCCRF will stop us from effectively protecting consumers and permit bad actors to set excessive prices or spam our clients with commercial offers," it said.

Amazon said the clauses that the DGCCRF has ordered removed had, for example "prevented the appearance of exorbitant prices for mask and hydroalcoholic gel during the pandemic".

In 2019, Amazon was fined 4 million euros for "manifestly unbalanced" contract clauses with third-party sellers on its site in a case brought by the DGCCRF.