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Anti-Trust Lawsuit against Amazon by Attorney General Quashed out of the Court

Attorney General Racine’s lawsuit was filed back in May 2021

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Dc Attorney's lawsuit against Amazon Quashed

The District of Columbia’s Attorney General, Karl Racine, has filed an antitrust lawsuit against Amazon in the past 2021 year. However, the court quashed the filings on the subject last week, reports The New York Times.

Hiram Puig-Lugo, a DC Superior Court Judge approved Amazon’s plea to quash the complaint. The lawsuit accused Amazon of anti-competitive behaviours to prohibit third-party sellers from promoting lower prices for their commodities on other platforms, including their own websites. Based on the court records, The New York Times couldn’t indicate the reason behind quashing the complaint.

A spokesperson for the Office of the Attorney General, Melissa Geller in a statement to The Verge told, “We believe that the Superior Court got this wrong, and its oral ruling did not seem to consider the detailed allegations in the complaint, the full scope of the anticompetitive agreements, the extensive briefing, and a recent decision of a federal court to allow a nearly identical lawsuit to move forward.”

Geller refers to a “nearly identical” lawsuit as the one in which Amazon is accused of forcing vendors to sell their commodities at the same or lower price than they offer on other or their own sites. This Part of Amazon’s request to quash the case earlier this week was denied. 

Racine’s lawsuit, which she filed in May 2021, takes the same position. It asserts that Amazon’s policies cause consumers to pay more since their prices will increase as they must include Amazon’s fees in the pricing. However, both lawsuits claim the same restrictions now apply to sellers under Amazon’s Fair Pricing Policy, despite Amazon quietly withdrawing a clause requiring sellers to offer products at the lowest prices on its Marketplace. 

Geller says Amazon has used its concentrated power to unfairly tilt the playing field in its favour, and we are considering our legal options and will continue to fight to develop reasoned antitrust jurisprudence in our courts.

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