Shopify loses bid to toss Sezzle lawsuit
A federal judge ruled Shopify cannot dismiss Sezzle's antitrust lawsuit, finding plausible monopoly claims while dismissing some coercion allegations.Summary
U.S. District Judge Eric Tostrud ruled that Sezzle has plausibly alleged that Shopify possesses monopoly power in the United States drag‑and‑drop e‑commerce platform market and in the buy now, pay later (BNPL) services aftermarket on Shopify‑based platforms, allowing the antitrust lawsuit to proceed. He wrote, “Sezzle has plausibly alleged that Shopify has monopoly power in both the United States drag-and-drop e-commerce platform market and the BNPL services aftermarket on Shopify‑based platforms,” while granting part of Shopify’s motion to dismiss claims that the company coerced merchants or consumers into using its Shop Pay Installments BNPL option. Sezzle, filed in June 2025, accuses Shopify of violating the Sherman Antitrust Act, the Clayton Act, and Minnesota antitrust and deceptive trade practices by favoring its own BNPL service over competitors for roughly four years. Shopify argues the complaint reflects dissatisfaction with platform features rather than antitrust violations. The decision lets the case move forward to further litigation.
(Source：Paymentsdive)