California Seeks Court Order to Halt Amazon’s Alleged Price Inflation Practices

California Attorney General Rob Bonta has asked a state judge to block Amazon from allegedly inflating consumer prices through anti-competitive tactics aimed at third-party sellers. The request for a preliminary injunction is part of a 3½-year-old antitrust lawsuit filed in California Superior Court in San Francisco, accusing the e-commerce giant of suppressing price competition and harming consumers.

According to court filings, the state claims Amazon pressured merchants not to offer lower prices on competing platforms such as eBay, Walmart, and Target. Bonta alleges that Amazon’s strategy was designed to shield the company from price competition and protect its profit margins. The lawsuit also seeks to recover what the state describes as unlawfully obtained profits.

The attorney general’s office says it uncovered numerous instances in which Amazon, competitors, and sellers allegedly coordinated pricing decisions. In some cases, merchants reportedly agreed to raise prices or temporarily remove products from other online marketplaces to avoid undercutting Amazon. These actions, the state argues, eliminated the need for traditional price-matching and limited competitive pricing options for consumers.

A central issue in the case is Amazon’s “Buy Box,” the feature that allows shoppers to click “Add to Cart” or “Buy Now.” The Buy Box accounts for most sales on Amazon’s platform. Bonta claims that sellers who refused to comply with Amazon’s pricing expectations risked losing access to this critical sales tool or being removed from the marketplace altogether.

Amazon denies the allegations, calling the motion an attempt to distract from what it describes as weaknesses in the state’s case. The company argues its agreements with sellers are pro-competitive, standard within the retail industry, and beneficial to consumers by ensuring product availability and competitive pricing.

If granted, the proposed injunction would halt the alleged anti-competitive conduct while litigation continues, with a court-appointed monitor overseeing compliance. The trial is scheduled for January 2027.