
Amazon is currently engaged in a significant legal battle against the Consumer Product Safety Commission (CPSC) regarding the agency’s ruling that holds the e-commerce giant accountable for defective products listed on its marketplace. According to a report by The Associated Press, Amazon’s lawsuit argues that it should be recognized as a “third-party logistics provider” rather than a product distributor. Furthermore, the company has deemed the structure of the CPSC as “unconstitutionally constructed,” raising questions about its legitimacy and authority.
This legal confrontation dates back to 2021 when the CPSC took action against Amazon, demanding the company recall hazardous items such as faulty carbon monoxide detectors, unsafe hair dryers, and flammable children’s sleepwear. While Amazon had proactively reached out to customers to inform them of the potential dangers and offered store credit for the affected products, the CPSC insisted that the company needed to implement more comprehensive measures to protect consumers.
In 2024, the CPSC’s decision to categorize Amazon as a distributor shifted the company’s responsibilities, making it liable for managing recalls and issuing refunds for items sold through its Fulfilled by Amazon (FBA) program. The FBA initiative allows sellers to store their products in Amazon’s warehouses, where the company takes on the logistics of picking, packing, and shipping to customers, alongside managing customer service and returns. Amazon contests this classification, arguing that it does not manufacture or own the problematic products flagged by the CPSC, likening its role more to a hands-on logistics provider, similar to FedEx.
Beyond its desire for reclassification to mitigate its liability regarding refunds and recalls, Amazon has raised concerns about the CPSC itself. The commission’s members are appointed by the President, confirmed by the Senate, and serve a term of seven years unless removed for “neglect of duty or malfeasance in office.” Amazon contends that the commission’s perceived immunity from accountability is unconstitutional, effectively placing them in the roles of judge, jury, and prosecutor in their enforcement processes.
Amazon has made parallel accusations against the National Labor Relations Board, the federal agency responsible for safeguarding workers’ rights to organize and unionize. The timing of Amazon’s grievances is particularly noteworthy, as the Trump administration has shown a lack of interest in maintaining regulatory bodies that oversee business operations. This context suggests that the administration may lean towards supporting Amazon’s efforts to diminish the authority and influence of the CPSC.