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Amazon Keeps Prices ‘Artificially High,’ California Alleges

  • State filed antitrust suit against e-commerce giant Wednesday
  • AG Rob Bonta cited pricing agreements with third-party sellers
Employees process customer orders at an Amazon.com fulfillment in Tracy, California.

Employees process customer orders at an Amazon.com fulfillment in Tracy, California.

Photographer: David Paul Morris/Bloomberg

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California sued Amazon.com Inc., saying the company forces third-party merchants to agree to policies that lead to “artificially high prices” for consumers.

State Attorney General Rob Bonta on Wednesday announced the antitrust suit challenging Amazon merchant agreements that bar sellers from offering lower prices on other sites and impose stiff penalties if they do. He said the agreements block competition from other online retailers, resulting in inflated fees for merchants and higher prices for consumers.