This is not recommended. Brands prohibit Amazon sellers from selling these products.
Selling these products privately is a violation and could result in account suspension and legal disputes. Return the product and refund it as requested by the distributor to avoid further complications. Then, find another compliant product to sell.
If you decide to sell, then you could get an IP—it really depends on how quickly the brand will start issuing IP claims. If I were you, I would return everything unless I could sell out all of it within a few days.
Selling out after the distributor and brand told you to stop is risky because it can trigger IP complaints, listing takedowns, and even a Section 3 suspension, and it may also breach your distributor agreement, jeopardizing refunds and future supply.
The safest play is to accept the return-and-refund, get the authorization in writing, and create immediate FBA removal orders so you control the stock. If you want to salvage sales, ask the distributor or brand for a written sell-through window on Amazon plus a letter authorizing you to sell existing inventory; without that, your invoices won’t help much if the brand files complaints.
If they refuse, redirect the units off-Amazon to channels that permit resale, such as wholesale liquidation, eBay, or your own site, and avoid using the brand’s trademarks in ways that could prompt takedowns. If you insist on selling on Amazon anyway, understand the downside and at minimum monitor Account Health daily, keep all purchase documentation ready, and be prepared to remove or dispose of remaining units the moment a complaint lands, but the prudent move is to return the stock and preserve your account.
If the brand has restricted Amazon sales, you risk IP complaints or account suspension if you sell them. It will be best to return to your distributor and avoid the headache — one complaint can cost more than your profit.
Are you already gated for that brand now in your account?