The District of Columbia has launched an antitrust lawsuit against Amazon over its treatment of sellers, according to the Wall Street Journal. The e-commerce giant is accused of blocking its sellers from offering better deals in other marketplaces resulting in higher prices for consumers.
D.C Attorney Karl Racine alleges that Amazon enjoys an unfair advantage since it controls pricing across its online channel.
Amazon has defended itself, saying sellers on the marketplace set prices independently and receives requests from merchants seeking to raise prices.
The lawsuit against Amazon does not involve the federal law which could limit its impact
Racine expects more states to join Washington D.C in the action against Amazon.
Amazon stock is currently gaining. AMZN: NASDAQ is up 0.15% on premarket.