A California Superior Court has rejected Amazon’s attempt to secure an early dismissal of the state’s antitrust lawsuit over the company’s marketplace pricing practices. The ruling means the case will proceed to trial.

Why it matters

Amazon hosts more than two million third-party sellers globally. If California proves that the company’s pricing policies constitute anticompetitive behaviour, the ruling could reshape how online marketplaces operate and set a precedent for similar cases across the United States.

The allegations

California Attorney General Rob Bonta alleges that Amazon used its “featured offer” system — which determines which sellers’ products appear most prominently — to coerce merchants into raising prices on competing platforms such as Walmart, Target, and eBay.

Newly unredacted court documents reveal that Amazon contacted vendors directly, instructing them to increase prices on rival websites. Sellers who refused faced loss of the Buy Box, Amazon’s most valuable product placement, which drives the majority of sales on the platform.

Amazon’s defence

Amazon argues its pricing policies encourage sellers to offer competitive prices and that consumers benefit from lower costs on its platform. The company contends that its practices are pro-competitive, not coercive.

The court found that Amazon had not conclusively demonstrated it avoided entering into prohibited pricing agreements with sellers in exchange for increased visibility and sales.

What happens next

The case will now proceed to a full trial. California is seeking an injunction to halt the alleged pricing practices. A trial date has not yet been set, but legal analysts expect proceedings to begin later in 2026. The outcome could influence the federal antitrust case against Amazon, which is proceeding separately.