Amazon has now been accused of exploiting its customers and that too, during the very sensitive time of the lockdown and the COVID-19 pandemic.
People are already struggling to deal with the virus and its impact, and to take advantage of them during such a vulnerable time is just wrong on so many levels.
A lawsuit has been filed against Amazon for “exploiting consumers in their most vulnerable hour.”
Class Action Lawsuit Filed Against Amazon For Hiking Prices During Pandemic
A class action lawsuit has been filed against the company by all Amazon shoppers across the US who purchased such products.
As per the law firm Hagens Berman, the e-commerce giant had reportedly increased the prices of medical items, cleaning products, canned food and other necessary supplies, during the coronavirus pandemic.
It also states that American customers shopped on Amazon and other online ecommerce platforms to buy commodities in the spring of 2020 due to the COVID-19 pandemic. The lawsuit says, “In this environment-consistent with the directions of government and public health officials-consumers have understandably turned to online purchasing, and Amazon in particular, to fulfill their essential needs.”
This complaint, that was first filed in April 2020 in California’s Northern District Court, states, “Some of the unlawful increases were on sales of products supplied by third parties, sales which Amazon controls and reaps huge profits from.”
There is no particular federal law that makes such practices illegal; however, many states have outlawed these practices during an emergency such as a natural disaster or pandemic.
Prices of Common Household Products Increased By 1000% During Lockdown
As per the lawsuit, Amazon had increased the prices of various goods available on its platform. For instance, the cost of face masks had gone up by 500% – the masks were initially priced at $20 and the changed prices were $120. The prices of disinfectants were hiked by 100% and that of black beans was hiked by 672%. The lawsuit also states that some items saw a price hike of as much as 1000%.
Some other commodities which were sold at an increased price were pain relievers, flour, and cold remedies.
Last year, Amazon had said that 4000 individual sellers were removed from its platform for price gouging during the pandemic. However months later it was found that sellers were charging up to 14 times more than other retailers four some common household items such as soap and hand sanitizer.
Comments are closed, but trackbacks and pingbacks are open.