California Seeks Injunction to Block Amazon’s Alleged Price Practices
State Accuses Retailer of Pressuring Merchants to Prevent Lower Prices Elsewhere
San Francisco — California Attorney General Rob Bonta is asking a state judge to order Amazon.com to stop what he calls an unlawful effort to keep prices high for consumers by pressuring merchants not to offer lower prices on competing retail sites. The request, filed Tuesday in California Superior Court in San Francisco, seeks a preliminary injunction in a 3½-year-old antitrust lawsuit and aims to halt the alleged conduct while the case proceeds.
The lawsuit also seeks to recover profits the state says Amazon obtained through the practices.
State Says Amazon Manipulated Market
In a heavily redacted filing, Bonta said his office found “countless” interactions in which Amazon, rival retailers and merchants agreed to fix prices so Amazon would not be undercut on websites such as eBay, Target and Walmart.
“Amazon’s goal is to insulate itself from price competition by preventing lower retail prices in the market,” Bonta said in the filing. “Amazon tells vendors what prices it wants to see to maintain its own profitability.”
According to the state, Amazon and rival retailers sometimes agreed — with merchants serving as intermediaries — to raise prices or make products temporarily unavailable. Bonta said these steps removed the need for price-matching and ensured Amazon remained competitive without risking lower prices.
Merchants who resisted Amazon’s expectations were allegedly punished. Bonta said Amazon could cut them off or deny them access to the “Buy Box,” the section of its website where shoppers can click “Add to Cart” or “Buy Now.” The Buy Box accounts for most of Amazon’s sales.
“We welcome companies that succeed by offering better prices and better service,” Bonta said in a statement. “What we have here is a greedy, behemoth corporation intentionally increasing prices in the marketplace to get richer and richer off the backs of consumers.”
State Seeks Monitor to Oversee Compliance
The attorney general’s request asks the court to bar Amazon from continuing the alleged anticompetitive conduct and to appoint a monitor to oversee the company’s compliance with the injunction. Bonta said the injunction is needed to prevent ongoing harm to consumers while the lawsuit moves forward.
Amazon Defends Its Practices
Amazon has argued in court that its agreements with merchants are legal and typical in the retail industry. The company says its approach benefits customers by expanding product choices, ensuring availability and keeping prices competitive. Amazon maintains that the arrangements are “procompetitive” and fall within lawful business practices.
Case Set for Trial in 2027
The trial is scheduled for January 2027, giving both sides nearly three years to prepare for what could be a major fight over how the nation’s largest online retailer influences prices across the broader marketplace.
The injunction request will be the next major decision before the court, determining whether Amazon must change its practices while the antitrust case continues.