Amazon hit with fresh UK class action-style suit — $3.4BN in competition damages sought for 200,000+ sellers

Amazon is currently facing another competition lawsuit in the UK, with a claim seeking over £2.7BN in damages before the UK’s Competition Appeals Tribunal.

The lawsuit, filed by Andreas Stephan on behalf of more than 200,000 UK third-party sellers on Amazon, alleges that Amazon has abused its dominant position in the marketplace services sector.

The accusations include discrimination in favor of Amazon’s own retail offerings, logistics services, and Prime membership product, as well as distorting inter-platform competition.

The lawsuit claims that third-party sellers have suffered financial losses and higher costs due to Amazon’s alleged anti-competitive practices.

The UK lawsuit is an opt-out collective action, with eligible sellers automatically included unless they choose to opt out.

To be eligible, sellers must have used a professional account to sell to UK consumers on Amazon between June 2018 and June 2024.

The lawsuit is being funded by Innsworth Capital Limited, a major litigation funder supporting various collective action lawsuits against tech giants in the UK and Europe.

Amazon has not responded to requests for comment on the UK lawsuit.

This is not the first competition abuse claim Amazon has faced in the UK, with previous legal actions seeking substantial compensation.

The wave of competition litigation against Amazon follows years of antitrust scrutiny in the UK, Europe, and the US.

Although Amazon has settled antitrust probes in the EU and the UK, damages claims continue to be pursued by affected parties.