New cancellation policy for purchase orders from Amazon

overseas supplier

If you are selling products to Amazon, you may have received an email today that significantly changes Amazon’s backorder policy. They are billing this as an “improvement” to their purchasing process.

Here is mostly the text from their email:

For regular replenishment, staged, or manually placed orders, Amazon will auto-cancel line items on your purchase order 7 days after your expected delivery date, or 30 days after the end of the ship/delivery window, whichever is sooner.

For accepted line items with submitted advanced shipment notifications (ASN), Amazon will auto-cancel items 30 days after the ship/delivery window only if they are not be received by this time.

Please take this into account when planning order fulfillment as you will need to factor transit and receive time into your fulfillment if you are near the 30 day post-ship/delivery window deadline.

This means that backordered line items will auto-cancel if not received into Amazon’s network 30 days after the ship/delivery window on the purchase order, the longest amount of time these orders will remain open. Any late backordered items will be subject to the Unfilled by Cancel Date chargeback.

For items you’ve already backordered, those may be cancelled under the new policy. For purchase orders received before March 24, 2017, there will be a grace window for cancelled items receiving an Unfilled by Cancel Date chargeback.

This grace period does not impact Unfilled by Cancel Date chargebacks you might have received before March 24, 2017.

For direct import orders, accepted line items will auto-cancel 45 days after the ship/delivery window on the purchase order unless Amazon receives an ASN.

Backordered line items on direct imports without an expected delivery date (EDD) will also auto-cancel 21 days after the ship/delivery window.

Backordered line items on direct imports will auto-cancel if not received into Amazon’s network 120 days after the ship/delivery window on the purchase order, the longest amount of time these orders will remain open.

For purchase orders received before March 24, 2017, there will be a grace window for cancelled items receiving an Unfilled by Cancel Date chargeback.

This grace period does not impact Unfilled by Cancel Date chargebacks you might have received before March 24, 2017.

You will find details of your ship/delivery window in your Amazon purchase order. To alert you of all purchase orders that need to be fulfilled before the cancellation date, see Update past due PO items under Action Items on your Vendor Central home page.

The above cancellation policy (excluding the cancellation chargeback) applies to all outstanding orders received before March 24, 2017. Purchase orders received after March 24, 2017, will be subject to the cancellation policy and the cancellation chargeback.

Avatar
Richard has 17 plus years of eBay experience which includes tens-of-thousands of sales to buyers in over 100 countries. He even has experience with eBay's VeRO program enforcing intellectual property rights. And for about two years he sold products on Amazon using Amazon FBA. To "relax" from the business grind, on a few weekends he works for IMSA as a professional sports car race official.

1 COMMENT

  1. I immediately tried to cancel my order when I realized it was debiting$199.99 from my account…. I believed it was shipping only @ $4.98….quite a difference… So don’t tell me it’s back ordered… put a stop on the order & refund my account… Please & Thank you…
    My bank is looking at this as Fraud….

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.