Following coup against Amazon

Platforms must grant more rights to merchants

This text was originally published in German and machine-translated into English.

Last summer, the German Cartel Office landed a coup against Amazon. After numerous merchants complained about non-transparent cancellations and account suspensions, the online giant had to change its terms and conditions. This will soon applies to all other European platforms as well. They must grant more rights to their traders. The new regulation against unfair practices ("platform to business regulation") comes into force on July 12 and is directly applicable in every EU country.

Transparency is a key issue here. Until now, according to the German Cartel Office, marketplaces had an unlimited right to terminate and immediately block traders' accounts without having to give any reasons. In the future, a 30-day period will apply for ordinary cancellations; platform operators must inform the merchants and give specific reasons for extraordinary cancellations and suspensions. General information is no longer sufficient.

The GTCs must also indicate whether the platform itself offers products which are then distributed preferentially. When goods are ranked in a platform's search results, the criteria and their weighting must also be disclosed.