What's the best way to deal with a company that tries to enforce their MAP policy?

Thank you for sharing your experience. Yes protecting account is the most important.

Many of these points have been made but I will say them again.

You purchased from a liquidator, That gives you the right to sell the items under the first sale doctrine, however…

As you are not an authorized dealer you have no legal agreement with the Manufacturer/Rights owner. Meaning you do not have the right to use their name, images, Trademarks etc. Physical location stores do not have this issue, but selling online you need a license to use images etc…
Many Manufactures provide images and only allow dealers to use only the images provided.

The warranty can be null and void if not purchased from an authorized dealer. This makes it a used item per Amazon policy.

They were nice enough to give you a warning, The next step will be going after your Amazon account, then your company.

They complained about the MAP policy, not IP rights, so this may be an overstatement. But the general warning is valid.

I want to acknowledge @HumbleWarrior for being one of the few authors on any forum to have a rational adult conversation about this issue. How many absolutely insane conversations have we all read on the OSFE and NSFE about the FSD?

I applaud you @HumbleWarrior for rolling with the fairly straight forward replies that can be quite disturbing, considering there is capital already laid out in the form of inventory.

Stay awesome!

No one cares about MAP except the rights owner, in this case, the ones who sent you (or contracted a company to send you) that MAP violation notice.

Amazon violates MAP all the time even when they purchase direct from the manufacturer. I’ve spoken to rights owners about this, typically they say “we know, we’re just waiting for them to run out of stock and we won’t sell to them anymore”. I have seen them follow through on that exactly 0% of the time.

What will likely happen, unless you take action described in this forum immediately, is the rights owner will file a counterfeit complaint against you. Are your products genuine and new? Sure. Will you be able to provide an invoice from an authorized source saying as much? No. Thus, the violation will stick and you risk account deactivation.

It is the rights owner’s only recourse, even if it’s a round-about way of doing it. If you were an authorized dealer they would simply just stop selling to you and the problem would take care of itself.

Regarding eBay, that’s not a lot better. They have a VeRO system the rights owner can use to file complaints against your listings for unauthorized use of their intellectual property (images, descriptions, etc). If anything, they’re tougher because they can file a trademark complaint against your individual listing, as opposed to Amazon where they wouldn’t be able to do that because the listing (ideally) is unique to the product, so there’s no trademark being violated. That’s why they would file a counterfeit complaint against your offer.

You might get away with what you’re doing if you only have a few hundred units. It will, however, be short lived. What you are doing is precisely why all these systems are in place.

This 1000 x this.

I deal with 2 manufacturers who stopped selling to Amazon because they were pricing dirt cheap. If Amazon had skimped on the MAP a little, they wouldn’t have bothered about it but Amazon was undercutting the MAP by ~%40 and the brands cut them off.

This is the exception that proves the rule, though.

@HumbleWarrior

I have been thinking about this situation.

I think this product may be a dog.

The motivation might be that you are disrupting the manufacturer’s own plan to dump this product, which is not the usual reason for a MAP complaint. It is not triggering problems with its authorized sellers because they might not be carrying it in stock.

If that is the case, they might never consider any legal action because that would cost money. And they are probably not using a third party to enforce their rights.

How much do you know about this product? Is it a loser? Is the below MAP price you have chosen the right price for the item, or is it 50% off.

I remember having acquired a quantity of the lowest priced digital camera at the time, made by a well known manufacturer of photo accessories. It had abominable reviews. I received brand new in original packaging product which Walmart removed from their stores.

I read the reviews, and none of them were complaints about quality. All were bemoaning missing features in the product. What usually happens when someone sets out to be the lowest priced product on the market.

Others were selling below wholesale but still not low enough. I priced below everyone. Sold out quickly. Not a single return. No more bad reviews either.

Sometimes it helps to know what the problem with a product is.

Sometimes when Amazon sells below MAP, they do not care if the manufacturer cuts them off. The product is not worth more than the Amazon price.

Also, Amazon will violate MAP if any seller violates MAP. Amazon’s pricing algorithm seems to be trained to do this. They will not be undercut. If anyone breaks MAP, it’s game on.

That’s not necessarily true. It could be that it’s stagnant inventory and Amazon wants it off their shelves. In that sense, the cost of the product and the time on their shelves is such that they just want to cut their losses so they slowly lower the price until it moves. That’s why you’ll see a $200 MAP product advertised for $30, for example.

Ain’t that the truth :joy:

I translate that to mean that it is not worth more than Amazon’s price.

I may have misunderstood Amazon’s price paid vs Amazon’s price advertised. In either case, they’ll just take the L and not deal with it again. In all cases, they’ll violate MAP without even a thought.

This brings up an interesting situation though: If a manufacturer sells to an authorized dealer and in the course of business the dealer violates MAP and the manufacturer terminates their agreement (due to breach of contract), if continued sale of the product by that dealer constitutes a materially different product (like in the Otterbox case). Would a manufacturer have to honor the warranty for the units sold to that dealer because they were authorized at the time of purchase… :thinking:

Our vendor agreement with Amazon over a decade ago made null the MAP pricing for that company. That company dropped the vendor program the next year and that is how I got started with Amazon as they needed someone to switch to being a seller from a vendor because we wanted the price controls. We sold that company and will not vendor with Amazon again unless we open a different busienss model without dealers who are harmed by it.
A contract with Amazon for a vendor is like the Uno reverse card for MAP IMO. You either accept the terms making MAP and pricing control at their discretion, or go pound sand and be a seller where you can enforce it.

Ebay it…last time I checked, Ebay stated they will not enforce MAP policies.

We had this situation once where one of the manufacturers we sell for tried to VERO us for MAP policy (which, again, Ebay does not allow). We got the violation removed fast. I told the manufacturer to go shove it then…didn’t want to sell their crap anymore. Needless to say, their business has gone downhill.

Depends on how hostile the manufacturer is. It is easy to refuse to honor the warranty. The worst that is likely to happen is a case in small claims court, unless a government agency charged with consumer protection takes action.

Relative to Ebay and MAP as @Jenga244 notes Ebay does not enforce MAP, but Ebay does not require items sold as NEW have an in effect manufacturer’s warranty.

Ebay sellers who are manufacturer authorized are scarcer than ever before. Ebay identifies categories where it is losing sales, and they are primarily categories where the products are expected to be NEW and are in production. Word is out that many items have no warranty other than the 30 day Ebay MBG.

To my knowledge, no internet marketplace enforces MAP, but some offer the click through for price to bypass MAP.

Ah…

Remember the good ole days on the OSFE?

This thread.

Nostalgia galore.

I will say - SAS is a much nicer place :slight_smile:

I remember FusionS, Desperado, Void, and Debbie Pearl with her felon partner at the same address, making ■■■■ posts out of everything (along with many many others). Ranging everything from literal trailer park trash in Oregon, to a bi-curious ADHD/Autistic phone charging phobic printer seller, to a ex con who learned how give OSFE legal advice by doing time for making fake police badges and selling them to undercover cops.
Fun note, one of them had their inventory at FBA and got hit with a counterfeit lawsuit and Amazon claim and their inventory was destroyed, which is why they always say “never FBA”. LOL
Some lessons have to be learned the hard way I guess.

Imagine how the FSD conversation would have gone on the OSFE… :man_facepalming:

:rofl:

Gee whiz…I just meant that we’re still talking about FSD - didn’t have to get literal on me.

Dead poets and all.

:slight_smile:

Or ends up at a “liquidation source” and the cycle of counterfeit claims starts over again with the same inventory…and we end up at the beginning of this thread. All because of FBA and MAP.

For counterfeit claims it is usually landfilled because of liability. I have a neighbor who worked at a fulfilment center years ago, and she said that they once were ordered to take an entire SKU and put it in the trash, not into the recycle/donate/liquidate where lots of other stuff goes. It was clearly counterfeit make up from China.