A federal judge said the Federal Trade Commission could proceed with its landmark antitrust suit against Amazon, which was a major defeat for the e-commerce giant’s effort to dismiss the case.
The order, issued by Judge John H. Chun of the U.S. District Court for the Western District of Washington, allows most of the lawsuit’s federal and state-level claims to proceed, though several state-specific allegations were tossed out.
The complaint, filed in September 2023, alleged that Amazon used its dominance to jack up prices, overcharge sellers, and squash competition. The lawsuit represents one of the largest legal battles that Amazon has seen in almost 30 years of its operational existence, after years in which its business practices have been questioned.
The FTC, joined by attorneys general from 18 states and Puerto Rico, alleges that the conduct violated federal and state antitrust and consumer protection statutes.
While Judge Chun rejected some claims from New Jersey, Pennsylvania, Oklahoma, and Maryland against their respective antitrust and consumer protection statutes, the federal antitrust challenges and most other state claims will go to trial in October 2026.
Response of Amazon
Amazon replied that it was “disappointed but unsurprised” by the ruling and remained confident in its legal position. Tim Doyle, an Amazon spokesperson, noted that the court has also issued only a preliminary ruling based upon an assumption that the FTC allegations are true. Doyle added that the allegations could not withstand the scrutiny of a full trial in the court of law. Doyle hit back at the FTC’s alleged representation of consumer shopping habits, contending that it would inflate costs and make shopping more clunky.
Yet the F.T.C. seems to regard the court’s ruling as a tremendous victory. “The Court’s decision gratifies us, and we look forward to moving this case forward,” said Doug Farrar, the F.T.C. spokesman, adding that the suit was about unmasking how the allegedly monopolistic practices by Amazon hurt competition, raised prices and stifled innovation in the market.
Broader Antitrust Landscape
The Amazon lawsuit represents part of a wider effort by US regulators to curb monopolistic practices in the technology sector. Similar cases have been filed against Meta Platforms, and the Department of Justice has separately filed antitrust cases against Apple and Google.
In August, a federal judge ruled that Google’s search engine exploits its market dominance to suppress competition, a sign perhaps that regulators may be starting to see success with their legal efforts.
In this way, by 2026, the case will most likely start to heat up and will be closely monitored to set the course for future competition in the digital market. For Amazon, that means dealing with the growing legal challenges and escalating demands to revisit business practices under immense scrutiny carefully.
