On Friday, Amazon filed a motion to dismiss a class action brought against the against it that alleged their contractual agreements with suppliers are anticompetitive and protect Amazon from competition with retail suppliers.
Amazon claims that, by setting Margin Agreements with its wholesale providers, it’s encouraging market competition and acting in favor of antitrust laws. Amazon states that these lowered prices benefit customers, such as the plaintiffs.
The e-commerce giant also alleges that the plaintiffs lack antitrust standing because they have not suffered an antitrust injury. Amazon expands on this reasoning, arguing that the market conduct, in question by the plaintiffs, occurs outside any market the plaintiffs participate in as consumers.
According to Amazon, “[the] Plaintiffs’ theory of market-wide anticompetitive effects rests on allegations regarding the combined effects of individual Margin Agreements; this theory fails because the Complaint does not allege an agreement or conspiracy among and between the Amazon suppliers along with Amazon.”
Amazon is represented by Davis Wright Tremaine LLP, Paul, Weiss, Rifkind, Wharton & Garrison LLP, as well as their in-house counsel.
