PHILADELPHIA, PA – Pennsylvania Attorney General Michelle Henry announced a collaborative lawsuit against Amazon.com, Inc., alongside the Federal Trade Commission (FTC) and 16 other state Attorneys General. The lawsuit aims to curb Amazon’s alleged monopolistic behaviors, which are said to negatively affect both buyers and sellers on its platform.
The complaint accuses Amazon of exclusionary conduct that hinders current and potential competitors. Amazon is alleged to manipulate search results to favor its own products, charge exorbitant seller fees, and employ anti-discounting measures that affect prices across the internet. Such actions maintain Amazon’s monopoly on hundreds of billions of dollars in annual retail sales, according to the lawsuit.
“Our intention is to protect consumers from the consequences of bad business practices,” said Attorney General Henry. She emphasized that the size of a company should not give it free rein to manipulate consumers or the market.
The lawsuit identifies two specific markets where Amazon’s conduct is allegedly anti-competitive: the online retail market serving shoppers and the online marketplace services market used by sellers. Amazon is accused of suppressing competitors by imposing strict conditions on sellers’ “Prime” eligibility, which in turn limits their presence on other platforms.
The suit aims to issue a permanent injunction in federal court to stop Amazon’s alleged unlawful conduct and restore market competition. States joining the lawsuit include Connecticut, Delaware, Maine, Maryland, Massachusetts, Michigan, Minnesota, New Jersey, New Hampshire, New Mexico, Nevada, New York, Oklahoma, Oregon, Pennsylvania, Rhode Island, and Wisconsin.