Amazon already faces a major antitrust challenge from the FTC.

  • Arizona’s Attorney General, Kris Mayes, filed two lawsuits against Amazon on Wednesday for allegedly engaging in deceptive business practices and maintaining monopoly status. The first lawsuit accuses the company of using dark patterns to keep users from canceling their Amazon Prime subscriptions, violating Arizona’s Consumer Fraud Act. This is similar to a complaint filed by the Federal Trade Commission (FTC) against Amazon in June.

  • The second lawsuit alleges that Amazon unfairly maintains its monopoly status through agreements with third-party sellers that restrict them from offering lower prices off of the platform than they do on Amazon, violating Arizona’s Uniform State Antitrust Act. This practice has also been targeted by other state attorneys general in cases filed against Amazon.

  • Additionally, the lawsuit accuses Amazon’s Buy Box algorithm of being biased towards first-party retail offers or sellers who participate in Fulfillment By Amazon, leading consumers to overpay for items that are available at lower prices from other sellers on Amazon. This aspect is also reflected in the FTC’s recent antitrust lawsuit against Amazon, which has been joined by more than a dozen state attorneys general.

  • Arizona seeks to stop Amazon from engaging in these allegedly deceptive and anticompetitive practices and award civil penalties and disgorgement of ill-gotten gains.

  • Grangle1@lemm.eeEnglish
    20·
    6 months ago

    The term “dark pattern” refers to any deceptive practice, no matter how small or insignificant it may seem, that online websites, apps, etc use to get people to do the site/app’s desired behavior, such as in this case, not cancel their Prime subscription. Not all of these examples may apply in Amazon’s case, but some examples would be making the fields or buttons for canceling or keeping your subscriptions different colors or sizes, making the default choice to keep the subscription, making you view a bunch of ads to keep the sub or go through a bunch of other pages before canceling, or hiding the cancelation option in fine print in a corner of the site. The “dark” part means that the average person usually doesn’t notice the deceptive nature of the practices.