FTC antitrust lawsuit against Amazon will proceed, some claims dropped

The Federal Trade Commission’s antitrust lawsuit against Amazon will proceed, though some claims have been dropped, following a ruling from a federal district judge.

Judge John Chun, from the U.S. District Court in the western district of Washington, partially granted and partially denied Amazon’s motion to dismiss the lawsuit entirely, according to a summary of the filing.

The order is under seal so it’s unclear which parts of the lawsuit will proceed. The FTC has until the end of the month to file a second amended complaint regarding any claims Judge Chun dismissed without prejudice, meaning the claims could resurface.

The FTC and 17 state attorneys general sued Amazon in September 2023, arguing the company unfairly used its position as an ecommerce superstore and fulfillment network provider to keep its rivals from gaining a foothold.

In the sprawling lawsuit, the FTC accused Amazon of promoting its own brands over competitors, preventing third-party sellers from setting discounted prices and forcing merchants to pay steep fees to Amazon itself. For consumers, that meant higher prices, fewer options and a degraded shopping experience, the FTC alleged.

Amazon has denied the allegations, maintaining that the business practices under scrutiny are common across the retail industry and have helped to lower prices for consumers. In a motion asking Chun to dismiss the case in December, Amazon described the lawsuit as an “attack” and an “effort to hobble one of America’s most consumer-focused businesses.”

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