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Saturday, April 27, 2024

Amazon accused of steering customers toward higher costs

Lawsuits
Steve w berman hagens berman sobol shapiro llp

Steve W. Berman | hbsslaw.com

SEATTLE (Legal Newsline) - A class action lawsuit alleges Amazon doesn't always provide shoppers with the cheapest option for the product they are looking for.

Amazon.com Inc., a Delaware corporation, is facing a class-action lawsuit filed by Jeffrey Taylor and Robert Selway on behalf of themselves and others similarly situated. The case was filed in the United States District Court for the Western District of Washington at Seattle on Feb. 8.

The plaintiffs accuse Amazon of violating the Washington Consumer Protection Act through deceptive practices aimed at keeping its profits high. The complaint alleges that Amazon uses a biased algorithm to determine which offers shoppers see, thus influencing their purchasing decisions.

The algorithm is used to select one seller's offer to appear in the "Buy Box" of a product page, which contains "Buy Now" and "Add to Cart" buttons. It is alleged that nearly 98% of Amazon shoppers choose the offer selected for the Buy Box.

The lawsuit also accuses Amazon of overcharging consumers while rewarding sellers who pay fees to Amazon. The plaintiffs claim they could not have reasonably discovered Amazon's biased algorithm until it became a subject of regulators' concerns.

The plaintiffs are represented by Steve Berman and other lawyers at Hagens Berman.

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