Amazon Amazon.com I am a seller at Amazon.com. It forcefully refunded my money to the buyer without investigating the matter properly, violating its own terms and conditions. Internet

Scenario:
I sold a speaker system on Amazon to one of the buyers who was not able to use the system properly because of complicated controls, and reported a bad product. I replied back to him with instructions to operate the system properly, and I believe he was able to use that, but seemed persistent to receive a return from Amazon using A-to-Z guarantee claim.

After communicating twice with me and leaving me a positive rating, he continued to pursue the case with Amazon for a refund.

I received an email from Amazon A-to-Z guarantee department claiming that the buyer had applied for A-to-Z guarantee claim, and I had five days to act on that.

When I read this email, I did not have any idea about A-to-Z guarantee which was available from Amazon for buyers without any investments.

Unaware of the A-to-Z guarantee system's reality, that it was not a insurer selling insurance to buyers, but an Amazon namesake to protect its buyers, I ignored the message.

In absence of a response, regardless of the facts that I had responded to the buyer in a timely manner, and had received a positive rating from the buyer, Amazon ruled out in favor of the buyer, and decided to refund the money, but did not inform me of the decision. After about three months since the ruling, I sold some merchandise on Amazon. Amazon used the credit to refund to the buyer, and sent me the decision two days before that.

My argument:
Since Amazon did not talk in simple terms about a refund issue, and pretended to be a guarantee service provider, I did not find myself obliged to respond to every email that I received from companies related to Amazon. The pretense of a Guarantee company, which in fact is a namesake to their system of refunding money and protecting buyers from fraudulent activities, was confusing to me, and thus I ignored it.

Usually when one has such kind of an insurance from a company like Bestbuy, he or she pays for it. In that case, the company providing the guarantee is responsible for handling the financial obligations of the claim, and the original seller is not involved.

Unaware of the A-to-Z guarantee system's reality, that it was not a insurer selling insurance to buyers, but an Amazon fake namesake to protect its buyers, I ignored the message.

After not receiving a response from me Amazon acted on impulse without following the course of decision making procedure. As per the Amazon A-to-Z guarantee claims T&C at http://www.amazon.com/gp/help/customer/display.html/ref=hp_navbox_lnpriv_az?nodeId=537868 , the buyer must contact the user for a return which he had never done, and Amazon did not ensure that the buyer had. Amazon did have enough proof that we were in touch under good terms, apparent from the interactions and positive rating (which have magically disappeared)  posted on Amazon's website.

On seeing the loss of credit from my account, I tried to contact Amazon about the refund, and it sent me a response, which in reality was a log on it's system.

I decided to pursue the case in small claims court, but the amount is significantly small, compared to the cost of pursuing a lawsuit, in a far away jurisdiction which would cost me more than one thousand dollars just to get there on trial day, so I have decided to squash it, and let people know of Amazon's atrocious and self righteous behavior.