Amazon Accused of Steering Shoppers to Higher-Priced Items, Using "Buy Box"!

[army judge]

Jurisdiction

Washington

Amazon.com was sued in a proposed U.S. class action accusing the online retailer of violating a consumer protection law by steering hundreds of millions of shoppers to higher-priced items in order to earn extra fees.

According to a complaint filed Thursday in federal court in Seattle, Amazon's algorithm for choosing what to display in its "Buy Box" when shoppers search for products often obscures lower-priced options with faster delivery times.

Citing the recent antitrust case against Amazon by the U.S. Federal Trade Commission and 17 states, the complaint said shoppers go with Amazon's choices nearly 98% of the time by clicking its "Buy Now" or "Add to Cart" buttons, often falsely believing Amazon had found the best prices.

Amazon allegedly created the algorithm to benefit third-party sellers that participate in its Fulfillment By Amazon program and pay "hefty fees" for inventory storage, packing and shipping, returns and other services, the lawsuit said.

"While ostensibly identifying the selection that consumers would make if they considered all the available offers, Amazon's Buy Box algorithm deceptively favors Amazon's own profits over consumer well-being," the complaint said.

Amazon declined to comment.

The complaint was filed by California residents Jeffrey Taylor and Robert Selway.

It seeks damages for Amazon's alleged violations since 2016 of a Washington state law against deceptive trade practices, which resulted in a "great burden placed upon its customers," according to the plaintiffs' lawyer Steve Berman.

The case differs from other private litigation over the "Buy Box" by focusing on harm to consumers from deceptive practices, instead of antitrust violations or harm to sellers that do not join Amazon's fulfillment program.

The case is Taylor et al v Amazon.com Inc, U.S. District Court, Western District of Washington, No. 24-00169.

https://www.newsmax.com/finance/streettalk/amazon-lawsuit-fees/2024/02/09/id/1152975/

 

[adjusterjack]

A couple of years from now there will be a settlement with no admission of wrongdoing. The lawyers will have made a fortune.

You, Judge, and I will probably get a $5 gift certificate if we're lucky.

 

[Tax Counsel]

A couple of years from now there will be a settlement with no admission of wrongdoing. The lawyers will have made a fortune.

You, Judge, and I will probably get a $5 gift certificate if we're lucky.

The real win here isn't really providing money to Amazon customers for past purchases, especially since the damages would vary from one buyer to another and would be speculative, but rather forcing Amazon to change its practices of recommending the deal that makes it the most money to something that is more consumer friendly. Though personally I don't think it's that big a deal. Amazon will show you every seller they have carrying that product for you to see, you just have to click a button on the screen to get it. If consumers are too lazy to even do that, my sympathy for them on the alleged consumer rights case is pretty low.

 

[army judge]

You, Judge, and I will probably get a $5 gift certificate if we're lucky.

I had a dream of that very special moment, the moment I read an email from Amazon HQ informing me that I'd be receiving $1,500,000.00 because Amazon admitted to slick trickeration and shameless chicanery over the past 10 years.

Amazon and head honcho, Mr. "B" were filled with remorse and desired to offer reparations to the millions of unsuspecting customers who'd been duped and ripped off over the last decade.

@adjusterjack I'm heartbroken and bereft of my anticipated financial windfall.