Lawyers say Amazon is facing a lawsuit in the UK over damages of up to £900 million (nearly Rs 8,400).
Consumer advocate Julie Hunter plans to take collective action on behalf of UK consumers who have made purchases on Amazon as of October 2016, the attorneys representing her said.
The proposed case – which Amazon says is “groundless” – would be the latest mass lawsuit against a tech giant to be filed with the Court of Competition Appeals (CAT) in London.
Law firm Hausfeld, representing Hunter, said on Thursday that Amazon violated competition law by using “a secret and self-interested algorithm” to advertise its own products through the feature ” Buy Box” on its website.
“More than just a recommendation based on price or quality, Buy Box favors products sold by Amazon itself or by retailers that pay Amazon to handle their logistics,” Hunter said in a statement. surname. Other sellers, no matter how good their offers, were effectively closed. “
An Amazon spokesperson said in a statement, “This claim is baseless and we believe that will become apparent through the legal process.”
The lawsuit is expected to be filed at CAT later this month and will have to be certified by the court before it can proceed.
It is being offered on an “opt-out” basis, which means any potential claimants will be included in the claim unless they choose to opt-out.
The incident follows the UK antitrust watchdog’s announcement in July that it was investigating Amazon for suspected competition law violations, including how it chooses which products to place in the feature. Buy Box”.
Amazon, which has faced similar probes elsewhere, recently made an offer to the European Commission to prevent possible horrific behavior. EU antitrust fines.
The platform has also declined to describe its product search system to an Australian competition regulator who has heard complaints about major market platforms prioritizing manufactured goods. in the home.
CAT has authorized a claim for damages estimated at GBP 920 million (nearly Rs 8,600.) Google in July and approved another case worth up to GBP 1.7 billion (nearly Rs 15,900) against Apple in the May.
The court will also decide in January whether to bring a claim of up to GBP 2.2 billion (nearly Rs 20,600) against. Meta . Platformowner of Facebook and Instagramabout alleged anticompetitive conduct.
Google and Apple deny the charges against them, according to court filings, and Meta did not immediately respond to Reuters’ request for comment.
© Thomson Reuters 2022
