A recent ruling by the DC Court of Appeals has reignited the District of Columbia's antitrust case against Amazon, which was initially dismissed in 2022. The lawsuit claims that Amazon uses its dominant position in online marketplaces to unfairly drive up prices on competing platforms. The District alleges that Amazon prevents third-party sellers from offering their products at lower prices on other websites, including their own.
The original lawsuit was filed in 2021 by then-DC Attorney General Karl Racine, marking the first significant antitrust enforcement against Amazon. Although Amazon withdrew a policy in 2019 that mandated sellers to list their products at the lowest price on its platform, the lawsuit argues that Amazon’s current Fair Pricing Policy effectively maintains the same restrictions.
The District’s current Attorney General, Brian Schwalb, praised the appeals court's decision, emphasizing that DC residents deserve fair pricing and competition. In contrast, Amazon disagrees with the ruling. According to Amazon spokesperson Tim Doyle, the company’s approach ensures competitive prices and maintains customer trust, which benefits both consumers and sellers.
Amazon also faces antitrust scrutiny from the Federal Trade Commission (FTC), which has launched its own lawsuit accusing the company of monopolistic practices that harm competition and consumers.