UK Tribunal Allows Part of Apple-Amazon Competition Lawsuit to Proceed

A UK consumer lawsuit against Apple and Amazon over competition in the sale of Apple products on Amazon's UK marketplace will proceed, at least in part. The case, which alleges that Apple and Amazon agreed to restrict which sellers could offer Apple-branded products on Amazon's UK website in 2018, claims this reduced competition and pushed up prices.

The Competition Appeal Tribunal allowed claims concerning Apple products purchased through Amazon's marketplace to proceed, but rejected a broader part of the lawsuit covering products bought directly from Apple and from other retailers. The potential monetary impact of the case is significant, with the claimant estimating that it could be worth between £289 million ($383 million) and £306 million, including interest.

Judge Kelyn Bacon said that the claims concerning Amazon marketplace purchases were 'plausible, credible and grounded in the facts', but rejected the wider claims involving other retailers as based on a 'complex and speculative theory of harm'. Apple disputed the claims, stating that its agreement with Amazon was intended to address counterfeit products on the marketplace and improve the customer experience.

The company also argued that counterfeit products can create serious safety risks and could mislead consumers into believing they were purchasing genuine Apple devices. The case will now move forward, at least in part, with the tribunal allowing the narrower marketplace-related claims to proceed while excluding the broader allegations concerning purchases made through Apple and other retailers.