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Amazon Sued Over Price Controls from Washington, D.C., Attorney General

Antitrust lawsuit alleges that the company illegally controls retail costs to stamp out contest

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Amazon Sued Over Price Controls from Washington, D.C., Attorney General

An Amazon satisfaction center in Eastvale, Calif.. The litigation targets an Amazon clinic the attorney general says prevents vendors from offering lower costs on other sites.
WASHINGTON--District of Columbia Attorney General Karl Racine filed an antitrust lawsuit against Amazon.com Inc., AMZN +0.01percent alleging the company illegally controls on line retail costs to stamp out competition.

The suit, filed in Washington, D.C., Superior Court, aims"most favored nation" clauses Amazon has levied on vendors on its own online marketplaces. The exemptions prevent Amazon sellers from offering lower costs on other sites, such as their own, Mr. Racine explained.

Mr. Racine told reporters Tuesday the Amazon lately replaced old policies with new ones which make sellers"consent to be retrieved or eliminated from Amazon entirely if they provide their goods for lower costs or below better terms to a competing online stage. We believe that shift is a distinction without a difference"

More WSJ policy of antitrust problems facing the technology firm, chosen by the editors.

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