Microsoft Fights Tariff Refund Lawsuit Over Xbox Pricing

Microsoft is urging a Washington federal judge to force arbitration in an Xbox buyer's proposed class action, which alleges the company seeks to pocket tariff refunds meant for customers. According to the lawsuit, Microsoft increases console prices over time 'for a variety of reasons having nothing to do with tariffs.'

The lawsuit claims that when consumers pay higher prices due to tariffs, they are entitled to receive a refund from the government. However, instead of passing on these refunds to customers, Microsoft allegedly pockets them.

Micorsoft's lawyers argue that 'console prices change over time for a variety of reasons having nothing to do with tariffs' and that arbitration should be enforced in this case.