ACCC sues Amazon over kids’ backpacks lacking button battery warnings
Consensus Summary
The Australian Competition and Consumer Commission (ACCC) has sued Amazon in the Federal Court, alleging its online marketplace sold Unicorn Toddler Backpacks without mandatory button battery warnings. The backpacks, which included a detachable light-up unicorn toy containing button batteries, were sold to 41 Australian consumers, with 267 held in Amazon’s fulfilment centres as of November 1, 2022. The ACCC claims Amazon had possession and control of the products under its Fulfilment by Amazon service, violating Australian Consumer Law. This marks the first time the ACCC has taken legal action against an online marketplace for failing to comply with product safety standards. Button batteries pose serious risks to children under five, including severe internal injuries or death if swallowed. Amazon has responded by stating it is considering the case and remains committed to ensuring product safety. The ACCC’s action underscores growing concerns about compliance with safety regulations in online marketplaces, where many Australians now shop.
✓ Verified by 2+ sources
Key details reported by multiple sources:
- The ACCC sued Amazon in the Federal Court over Unicorn Toddler Backpacks sold via its marketplace, alleging they lacked mandatory button battery warnings.
- The backpacks included a detachable light-up unicorn plush toy containing button batteries.
- 41 backpacks were purchased by Australian consumers through Amazon’s website, and 267 were held in Australian fulfilment centres as of November 1, 2022.
- The ACCC alleges Amazon had possession/control of the backpacks under its Fulfilment by Amazon service (storage, picking, packing, shipping).
- Button batteries pose severe hazards for children under five, causing internal burns, injuries, or death if swallowed or inserted.
- This is the ACCC’s first Federal Court case against an online marketplace for alleged non-compliance with mandatory product safety standards.
- Amazon stated it was ‘considering the case’ and remains committed to ensuring product safety and compliance with regulations.
- Australian Consumer Law prohibits possessing/control of non-compliant goods in trade or commerce, including online marketplaces.
Points of Difference
Details reported by only one source:
- The ACCC’s case was launched on Friday, May 29, 2026, with Federal Court proceedings initiated.
- ACCC deputy chair Catriona Lowe emphasized the importance of consumer trust in digital markets due to rising online shopping.
- The ACCC warns children up to five years old are at greatest risk due to narrow oesophagus and tendency to place small objects in ears/mouths/noses.
- The ACCC’s lawsuit is the first of its kind against an online marketplace for product safety non-compliance.
- Choice’s 2025 test of five major online stores (Shein, AliExpress, eBay, Amazon, Kogan) found 17 of 24 items failed button battery safety standards.
- Energizer developed safety measures including child-proof packaging, warnings, bitter coating, and blue dye to detect ingestions.
- Global rise in button battery ingestion cases linked to increased availability of 20mm lithium-ion batteries.
Contradictions
Conflicting information between sources:
- The ABC article mentions the ACCC’s lawsuit was filed in 2026, but does not specify the exact date, while NEWSCOMAU states it was launched on May 29, 2026.
Source Articles
Amazon sued by watchdog over kids’ product
The ACCC has launched a lawsuit against Amazon, alleging it failed to comply with mandatory safety warnings on items for children.
Breaking: Amazon sued over alleged button battery safety failure in kids backpacks
The consumer watchdog is suing Amazon alleging it sold children's unicorn backpacks on its online marketplace which failed to comply with mandatory button battery safety warnings.