A US federal appeals court has upheld the dismissal of a whistleblower lawsuit that accused Amazon of helping foreign fur sellers avoid customs duties and import inspection fees on its marketplace.
The Second Circuit Court of Appeals affirmed the ruling on 20 May 2026, supporting a lower court decision that struck out the qui tam case brought by relators Mike Henig and Henig Furs under the False Claims Act
The relators alleged that foreign fur product manufacturers using Amazon’s platform had submitted reverse false claims to the US Government over 15 years. According to the lawsuit, shipment values were understated on customs declarations to reduce tariff assessments by US Customs and Border Protection. The case also alleged that required US Fish and Wildlife Service (FWS) inspection forms were left out, or that shipments were sent through ports without FWS facilities to avoid inspection fees.
Amazon was accused of knowingly enabling the conduct and conspiring with the manufacturers. The appeals court rejected liability under all three recognised grounds of the False Claims Act: actual knowledge, deliberate ignorance, and reckless disregard. On actual knowledge, the court said no individual or entity at Amazon had been shown to have consciously acknowledged false information in the shipments.