Ganbold Partners, LLC has filed a lawsuit against Amazon.com Services, LLC, alleging breach of contract, seeking immediate injunctive relief. The complaint was filed on October 18, 2024, in the United States District Court for the Eastern District of New York. Ganbold Partners accuses Amazon of wrongfully deactivating its seller account without proper cause or following agreed dispute resolution procedures.
The plaintiff, Ganbold Partners, LLC, is a Wyoming-based corporation with its principal office in Oceanside, New York. They entered into an agreement with Amazon in 2012 to sell products on Amazon's platform under specific terms. This arrangement allowed Ganbold to sell various grocery items, predominantly bulk candy. However, on August 27, 2024, Amazon deactivated Ganbold's seller account citing policy violations—a claim that Ganbold disputes as baseless and contrary to their established practices. The deactivation has led to severe financial repercussions for Ganbold Partners.
Ganbold asserts that the account deactivation occurred without prior warning and did not adhere to the dispute resolution process outlined in their agreement with Amazon. As a result of this action by Amazon, Ganbold's inventory worth over $3 million remains unsellable in Amazon’s warehouses. Furthermore, the company faces potential bankruptcy due to halted operations and has already laid off seventeen employees with more layoffs anticipated if the situation persists.
The complaint outlines how this abrupt disruption in business operations has led to significant financial distress for Ganbold Partners. It claims that over $630,000 from past sales are being withheld by Amazon and emphasizes that the harm caused cannot be rectified by monetary compensation alone due to long-term damage to business relationships and reputation.
Ganbold seeks multiple forms of relief from the court: a judgment against Amazon for breach of contract; an order compelling arbitration per their agreement; preliminary injunctions requiring reactivation of their seller account and preventing removal of stranded items; damages including interest and legal fees; and any other relief deemed appropriate by the court.
Representing Ganbold Partners is Jared J.Alimbach from Donnelly Minter & Kelly, LLC. Case ID 2:24-cv-07316.