Amazon must face price gouging lawsuit, US judge rules

Yahoo!news
A US judge allowed a lawsuit accusing Amazon of price gouging during the COVID-19 pandemic to proceed.

Summary

A U.S. judge in Seattle rejected Amazon’s attempt to dismiss a class-action lawsuit alleging price gouging during the COVID-19 pandemic. Judge Robert Lasnik found the company’s argument that Washington state consumer protection laws were too vague to be unconvincing. The lawsuit claims Amazon failed to prevent third-party sellers on its platform from charging excessively high prices for essential goods, and also inflated prices on its own inventory.

The complaint details significant price increases, including a 233% rise on Aleve, 1,044% on Quilted Northern toilet paper, 1,523% on Arm & Hammer baking soda, and 1,800% on certain face masks. Plaintiffs allege Amazon knew about the price gouging and even assured state attorneys general it was taking steps to prevent it, citing internal documents.

The lawsuit seeks damages for consumers who purchased goods on Amazon between January 31, 2020, and October 20, 2022, during the period of COVID-related states of emergency. Steve Berman, a lawyer for the plaintiffs, hailed the decision as “an important win for consumers.” Amazon and its legal representatives have not yet issued a comment.

(Source:Yahoo!news)