Amazon Seller Arbitration: What the Business Solutions Agreement Says About Disputes

Attorney Advertising. This guide explains how Amazon’s seller policies and processes generally work. It is general information, not legal advice. LA Law Group is not affiliated with or endorsed by Amazon, and Amazon’s policies change, so check the current version in Seller Central.

Short answer: The Amazon Services Business Solutions Agreement we read on November 14, 2026 says it “CONTAINS A BINDING ARBITRATION AGREEMENT AND CLASS ACTION WAIVER THAT REQUIRES YOU TO ARBITRATE ALL DISPUTES YOU HAVE WITH AMAZON ON AN INDIVIDUAL BASIS.” Its Dispute Resolution section names the American Arbitration Association (AAA) and lists three exceptions.

This guide sets out what that section says, in Amazon’s own words where possible. It does not predict how any dispute will go, and it does not describe what Amazon does in practice. For the wider set of seller account issues, see our Amazon seller page.

What does the Business Solutions Agreement say about disputes?

The Amazon Services Business Solutions Agreement is the contract Amazon posts in Seller Central help for sellers using its services. The public version we read on November 14, 2026 did not show a version or effective date on the page, so this guide uses the read date only.

Near the top, the agreement states in capital letters:

“THIS AGREEMENT CONTAINS A BINDING ARBITRATION AGREEMENT AND CLASS ACTION WAIVER THAT REQUIRES YOU TO ARBITRATE ALL DISPUTES YOU HAVE WITH AMAZON ON AN INDIVIDUAL BASIS.”

The details are in Section 20, titled “Dispute Resolution.” Its core sentence begins:

“Amazon and you both consent that any dispute with Amazon or its Affiliates or claim relating in any way to this Agreement or your use of the Services will be resolved by binding arbitration as described in this paragraph, rather than in court, except that…”

The sentence sets both a scope (“relating in any way to this Agreement or your use of the Services”) and a forum (“rather than in court”), then lists exceptions.

The same section also describes what arbitration is, in its own terms:

“There is no judge or jury in arbitration, and court review of an arbitration award is limited. However, an arbitrator can award the same damages and relief as a court (including injunctive and declaratory relief or statutory damages), and must follow the terms of this Agreement as a court would.”

Practical rule: Quote the dispute terms from the version of the agreement that applies to the account, with the date it was read, instead of relying on a summary or an older copy.

What exceptions are written into the agreement?

The sentence quoted above ends with three exceptions. As written, they are:

“(i) either party may elect to proceed in a small claims court that is a Governing Court if your claims qualify; (ii) you or we may bring suit in the Governing Courts, submitting to the exclusive jurisdiction of the Governing Courts and waiving our respective rights to any other jurisdiction, to enjoin infringement or other misuse of intellectual property rights; and (iii) we may bring any claims related to your sale of counterfeit products on the Amazon Site in the Governing Courts or the court of your domicile or habitual residence and seek any remedy available under law related to those claims.”

Read side by side, the exceptions are not parallel. The first is open to “either party” and depends on whether the claims “qualify” for small claims court. The second is open to “you or we” and is limited to suits “to enjoin infringement or other misuse of intellectual property rights.” The third is written for “we,” meaning Amazon, and covers claims “related to your sale of counterfeit products on the Amazon Site.”

Each exception refers to the “Governing Courts,” a term the agreement defines in its Definitions, quoted in the governing law section below. Whether any exception fits a particular dispute depends on its facts and the agreement in force for that account, and this guide does not answer that question.

What does the agreement say about the notice letter before arbitration?

The agreement includes a step that comes before an arbitration proceeding. The Business Solutions Agreement we read on November 14, 2026 says:

“Before you may begin an arbitration proceeding, you must send a letter notifying us of your intent to pursue arbitration and describing your claim to our registered agent, CSC 300 Deschutes Way SW, Suite 208 MC-CSC1, Tumwater, WA 98501.”

The text we read does not add a separate waiting period or a list of required contents, and this guide does not add any.

Who runs the arbitration, and under which rules?

The agreement names both the organization and its rule set:

“The arbitration will be conducted by the American Arbitration Association (AAA) under its commercial rules. The AAA will appoint an arbitrator with an active license to practice law in a United States jurisdiction. The arbitrator shall have the power to rule on the arbitrator’s jurisdiction, including the existence, scope, or validity of the arbitration agreement or the arbitrability of any claim or counterclaim.”

The last sentence matters for threshold questions. Under the agreement, the arbitrator has the power to rule on whether the arbitration agreement exists, how far it reaches, whether it is valid, and whether a claim can be arbitrated.

The AAA publishes its Commercial Arbitration Rules. Rule R-1 of the version we read begins:

“The parties shall be deemed to have made these Rules a part of their arbitration agreement whenever they have provided for arbitration by the American Arbitration Association (“AAA”) under its Commercial Arbitration Rules or for arbitration by the AAA of a domestic commercial dispute without specifying particular rules.”

The same rule also says: “The parties, by written agreement, may vary the procedures set forth in these Rules.” The AAA’s rules apply through the contract, so the exact text of the agreement matters.

What does the agreement say about individual claims and the relief an arbitrator can award?

Two sentences in Section 20 limit who can be part of a proceeding and what relief it can address. The first is about individual claims:

“Amazon and you each agree that any dispute resolution proceedings will be conducted only on an individual basis and not in a class, consolidated or representative action. If for any reason a claim proceeds in court rather than in arbitration Amazon and you each waive any right to a jury trial.”

The second is about the relief available:

“In any arbitration under this Agreement, you can obtain (and an arbitrator is only authorized to award) relief exclusively with respect to an account you have registered or Services you elect to use.”

Read with the earlier sentence that an arbitrator “can award the same damages and relief as a court,” the relief described is broad in type but tied to the seller’s own registered account or elected Services.

What does the agreement say about expedited procedures and AAA fees?

The Business Solutions Agreement we read on November 14, 2026 (America/Los_Angeles) says:

“The expedited procedures of the AAA’s rules will apply only in cases seeking exclusively monetary relief under $50,000, and in such cases the hearing will be scheduled to take place within 90 days of the arbitrator’s appointment. For all cases, the AAA commercial fee schedule governs the payment of all filing, administration and arbitrator fees.”

Agreement terms can change, so check the version of the agreement that applies to your account.

The AAA’s own Commercial Arbitration Rules address administrative charges in Rule R-55, which reads in part:

“As a not-for-profit organization, the AAA shall prescribe administrative fees to compensate it for the cost of providing administrative services. The fee schedule in effect when the Demand is filed will apply throughout the pendency of the case. The administrative fees shall be paid initially by the party or parties making a claim or counterclaim, subject to final apportionment by the arbitrator in the award. The AAA may, in the event of extreme hardship on the part of any party, defer or reduce the administrative fees.”

The AAA posts its Arbitration Administrative Fee Schedule separately. This guide links to it rather than restating any amount.

Which law does the agreement name, and what does federal law say about court review?

Section 20 opens with a choice of law:

“The Governing Laws will govern this Agreement, without reference to rules governing choice of laws or the Convention on Contracts for the International Sale of Goods.”

The agreement’s definitions list one entry each for the United States on the page we read:

“Governing Courts” means the applicable one of the following: the state or Federal court in King County, Washington

“Governing Laws” means the applicable one of the following: the laws of the State of Washington, United States together with the Federal Arbitration Act and other applicable federal law

The Federal Arbitration Act is a federal statute. Section 2 of Title 9 of the United States Code says:

“A written provision in any maritime transaction or a contract evidencing a transaction involving commerce to settle by arbitration a controversy thereafter arising out of such contract or transaction, or the refusal to perform the whole or any part thereof, or an agreement in writing to submit to arbitration an existing controversy arising out of such a contract, transaction, or refusal, shall be valid, irrevocable, and enforceable, save upon such grounds as exist at law or in equity for the revocation of any contract or as otherwise provided in chapter 4.”

On court review, the agreement says that “court review of an arbitration award is limited.” Section 10(a) of Title 9 says that in any of the following cases “the United States court in and for the district wherein the award was made may make an order vacating the award upon the application of any party to the arbitration”:

1. “where the award was procured by corruption, fraud, or undue means;”
2. “where there was evident partiality or corruption in the arbitrators, or either of them;”
3. “where the arbitrators were guilty of misconduct in refusing to postpone the hearing, upon sufficient cause shown, or in refusing to hear evidence pertinent and material to the controversy; or of any other misbehavior by which the rights of any party have been prejudiced; or”
4. “where the arbitrators exceeded their powers, or so imperfectly executed them that a mutual, final, and definite award upon the subject matter submitted was not made.”

That is what the statute says. Whether any of those grounds applies to a given award is a separate question that this guide does not address.

What does the agreement say about appeals within arbitration?

The agreement includes one sentence on appeals inside the arbitration process:

“The underlying award in the arbitration may be appealed pursuant to the AAA’s Optional Appellate Arbitration Rules.”

That is the full description in the text we read. We did not review the AAA’s Optional Appellate Arbitration Rules for this guide, so this article does not describe how that appellate process works.

Hypothetical: a seller reading Section 20

Hypothetical, for illustration only. This is not a case result and does not describe any client or real seller.

A seller has a disagreement with Amazon about its seller account and wants to know where it would be heard. The seller reads Section 20 from start to finish.

The opening sentence describes binding arbitration for claims “relating in any way to this Agreement or your use of the Services.” Of the three exceptions, one turns on small claims court eligibility, one is limited to intellectual property injunctions, and one is written for Amazon’s counterfeit claims. The seller also reads the notice letter, AAA rules, individual basis and appeal sentences.

The seller now knows what the agreement says. How those words apply to its own facts is a separate question for its own legal advice.

For account level problems that come before or alongside a dispute, see our guides to an Amazon seller account suspension appeal and an Amazon seller account suspended notice.

Key takeaways

• The Business Solutions Agreement we read on November 14, 2026 states that it contains a binding arbitration agreement and class action waiver.
• Section 20 describes binding arbitration “rather than in court,” with three listed exceptions that are not the same for both sides.
• The agreement describes a notice letter to Amazon’s registered agent before an arbitration proceeding begins.
• The agreement names the AAA and its commercial rules, Washington law with the Federal Arbitration Act, and courts in King County, Washington.
• Federal law lists specific grounds on which a court may vacate an award.

A short checklist

• The version of the Business Solutions Agreement that applies to the account is identified and saved with the date it was read.
• Section 20 is read in full, including the three exceptions and the notice letter sentence.
• The “Governing Courts” and “Governing Laws” definitions are read with Section 20.
• Any AAA rule or schedule relied on is the current version on the AAA website.

Sources checked (read November 14, 2026)

Read on November 14, 2026, at about 1:46 AM Pacific, without signing in: the Amazon Services Business Solutions Agreement (G1791) on Amazon Seller Central (US), which showed no version date; the AAA Commercial Arbitration Rules (headed “Rules Amended and Effective September 1, 2022”) and Arbitration Administrative Fee Schedule; and 9 U.S.C. § 2 and 9 U.S.C. § 10 on the U.S. House Office of the Law Revision Counsel website.

How can LA Law Group help?

LA Law Group, APLC works with Amazon sellers on account health, suspension, and appeal issues. Amazon makes the final decision on every appeal, and no lawyer can guarantee that an account or listing will be reinstated.

Our office is at 21540 Prairie St Unit A, Chatsworth, CA 91311. To discuss your situation, visit our Amazon seller lawyer page or call (866) 625-2529.

This article is general information only. It is not legal advice and does not create an attorney-client relationship. Amazon’s policies and the law change, and every situation is different. For advice about your matter, speak with a licensed attorney. Amazon is a trademark of Amazon.com, Inc. LA Law Group is not affiliated with Amazon. Prior results do not guarantee a similar outcome. Attorney Advertising.

Photo: Shixart1985 via Wikimedia Commons, CC BY 2.0, cropped and resized.