DC sues Amazon over alleged antitrust violations
CNN
The District of Columbia filed an antitrust lawsuit against Amazon on Tuesday, alleging the tech giant has abused its market dominance in e-commerce to harm competition and keep retail prices artificially high across the entire internet.
DC Attorney General Karl Racine's lawsuit against Amazon (AMZN) zeroes in on the e-commerce company's relationships with third-party sellers, alleging that Amazon's contracts prohibit sellers from offering their products at a lower price on other websites. The contract terms mean that the platform fees Amazon demands of its sellers — which are passed on to Amazon shoppers — must also be baked into the prices that shoppers see on sites such as Walmart's, Racine told reporters on a conference call. In some cases, Racine said, Amazon sellers are charged fees amounting to 40% of the total product price on Amazon.
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