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Sellers bear full responsibility for the accuracy of item descriptions and condition representations, with inaccuracies subject to Whatnot-imposed penalties at sole discretion, and Whatnot may transfer suspected counterfeit or stolen items to authorities at seller expense without a return obligation.
This analysis describes what Whatnot's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
This provision authorizes Whatnot to impose unspecified penalties for item description inaccuracies and to transfer suspected counterfeit goods to authorities without returning items to sellers, with all associated costs borne by the seller, creating direct financial and legal exposure for sellers whose listings are found to be inaccurate.
The updated terms establish mandatory arbitration as the exclusive dispute resolution mechanism for influencers, replacing direct court access in California and Australia. Under the revised language, any dispute with Whatnot must proceed through arbitration under the main Terms of Service, which includes a class action waiver. This means influencers cannot bring class or collective claims and cannot access court proceedings except where the main Terms of Service explicitly permits. The practical effect is that individual influencers seeking to resolve disagreements with Whatnot over payments, account suspension, content disputes, or contractual interpretation must use arbitration rather than litigation.
View change record →The updated terms establish a formal Creator Program for Australian users that defines how creators can submit content for potential monetary or credit rewards. Creators grant Whatnot a one-year, non-exclusive, worldwide license to use submitted videos across paid and organic social media, television, and other platforms, while retaining ownership of the original content. The terms require creators to clearly disclose any material connection to Whatnot, including consideration or free products received, in a form specified by Whatnot and compliant with Australian advertising standards and the AANA Code of Ethics.
View change record →Australian sellers using Whatnot are now required to resolve all disputes through arbitration rather than through Australian courts. The updated terms state that disputes will be resolved exclusively under the main Terms of Service arbitration provisions, removing the previous option to bring legal action in Los Angeles courts or pursue jury trials. The terms no longer include language allowing court proceedings, except where the main Terms of Service expressly permit.
View change record →Imposes strict seller liability for item accuracy with broad penalty authority for Whatnot and eliminates any obligation to return non-conforming items to sellers.
View full change record →Under this clause, sellers are contractually responsible for the accuracy of all item descriptions and images, and inaccuracies may result in penalties, loss of the item without return, and costs associated with disposal or law enforcement referrals. The penalties are unspecified in amount and are assessed at Whatnot's sole discretion.
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"Sellers are responsible for the accuracy of an Item's description. Sellers are required to ensure that the Item matches exactly the image that is displayed on the App, and that the described condition of the Item is a true and accurate. Any inaccuracy, whether it be the description, condition or authenticity of an Item, may, at the sole discretion of Whatnot, result in penalties. Whatnot has no obligation to return Items to Seller that do not conform to the Seller's description of such Items, and Seller is responsible for any fees associated with any return or disposal of the Item(s). Whatnot may, in its sole discretion, turn any suspected counterfeit, unauthentic, stolen, unauthorized, b-grade, or similar Items over to the proper authorities, and Seller is responsible for any fees associated with this action.Excerpt from Whatnot's Terms of Service
REGULATORY LANDSCAPE: The provision's reference to suspected counterfeit, unauthentic, or stolen items and cooperation with authorities engages the Lanham Act regarding trademark infringement and counterfeiting, as well as applicable state anti-fencing and stolen goods statutes. The FTC Act may be relevant regarding seller obligations to accurately represent item condition and authenticity in consumer marketplace contexts. GOVERNANCE EXPOSURE: Medium. The open-ended penalty authority at Whatnot's sole discretion for item description inaccuracies, combined with the no-return policy for non-conforming items and seller responsibility for disposal costs, creates financial exposure that is not capped or specified in the Terms. JURISDICTION FLAGS: Sellers in jurisdictions with specific consumer protection or seller protection statutes should assess whether Whatnot's unilateral penalty authority and no-return policy are enforceable. Australian consumer law and Canadian provincial consumer protection legislation may impose obligations on marketplace operators regarding item return and refund procedures that interact with this provision. CONTRACT AND VENDOR IMPLICATIONS: Sellers who source inventory through third-party suppliers or wholesalers should assess whether their supply chain agreements provide indemnification for counterfeit or inauthentic goods claims, given that seller responsibility for law enforcement referral costs is asserted in the Terms. COMPLIANCE CONSIDERATIONS: Seller onboarding compliance programs should include item listing accuracy verification steps and confirm that sellers understand the disposal and authority referral cost exposure. Legal teams should confirm whether the unspecified penalty authority is adequately disclosed in seller-facing Fee Schedule and onboarding materials.
This provision authorizes Whatnot to impose unspecified penalties for item description inaccuracies and to transfer suspected counterfeit goods to authorities without returning items to sellers, with all associated costs borne by the seller, creating direct financial and legal exposure for sellers whose listings are found to be inaccurate.
Under this clause, sellers are contractually responsible for the accuracy of all item descriptions and images, and inaccuracies may result in penalties, loss of the item without return, and costs associated with disposal or law enforcement referrals. The penalties are unspecified in amount and are assessed at Whatnot's sole discretion.
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