Amazon has filed a lawsuit against the Consumer Product Safety Commission (CPSC) due to its decision to hold the company legally responsible for faulty products sold on its platform. This development was reported by The Associated Press. Amazon’s lawsuit argues that it should be classified as a “third-party logistics provider” rather than a distributor and also claims that the CPSC is “unconstitutionally constructed”.

# Background of the Dispute

The roots of this legal dispute date back to 2021, when the CPSC took Amazon to court over the sale of hazardous products, including faulty carbon monoxide detectors, unsafe hair dryers, and flammable children’s sleepwear. Although Amazon had taken steps to address the issue, such as notifying affected customers and offering store credit, the CPSC sought further action from the company.

# The Classification Dispute

In 2024, the CPSC’s decision to classify Amazon as a distributor made the company liable for issuing recalls and refunds for products sold through its Fulfilled by Amazon (FBA) program. The FBA program allows sellers to send their products to Amazon’s warehouses, where Amazon handles packaging, shipping, customer service, and returns. Amazon disputes this classification, as it does not manufacture or own the faulty products in question, viewing itself more as a logistics provider similar to FedEx.

# Constitutional Concerns

Moreover, Amazon challenges the constitutionality of the CPSC itself. The commission’s members are appointed by the President and confirmed by the Senate, serving seven-year terms unless removed for negligence or misconduct. Amazon argues that this structure makes the CPSC overly independent, effectively acting as “judge, jury, and prosecutor” in its proceedings.

# Broader Implications

Amazon has made similar arguments regarding the National Labor Review Board, which oversees workers’ rights to unionize. The timing of these complaints is noteworthy, as the current administration has shown a reluctance to support regulatory bodies that oversee business practices, suggesting that it may side with Amazon in efforts to limit the CPSC’s authority.