financetom
Business
financetom
/
Business
/
Amazon hit with US consumer lawsuit over 'excluded' fast delivery zones
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Amazon hit with US consumer lawsuit over 'excluded' fast delivery zones
Dec 6, 2024 1:54 PM

Dec 6 (Reuters) - Amazon ( AMZN ) customers sued the

online retail giant in a new lawsuit that claims it secretly

excluded their zip codes from its fast delivery service for

Prime members while continuing to charge them for the service.

The proposed nationwide class action lawsuit was filed on

Thursday in federal court in Seattle by five residents of

Washington, D.C., who said Amazon ( AMZN ) stopped serving historically

underserved communities with its Prime delivery trucks and began

outsourcing deliveries there.

The lawsuit parallels a case that Washington, D.C.'s

attorney general filed earlier this week accusing Amazon ( AMZN ) of

violating the city's consumer protection provisions.

Amazon ( AMZN ) in a statement said the claims were "categorically

false." Amazon ( AMZN ) said it made a business decision to adjust

operations in the affected zip codes for the safety of the

company's drivers.

"We're always transparent with customers during the shopping

journey and checkout process about when, exactly, they can

expect their orders to arrive," Amazon ( AMZN ) said.

A lawyer for the consumers, Jarrett Ellzey, said Amazon ( AMZN ) can

adopt measures to protect drivers and their cargo but "does not

have the right to charge customers for services they fail to

provide."

The consumers' lawsuit seeks class action status for more

than 10,000 Amazon ( AMZN ) customers.

The District's complaint estimated that Amazon ( AMZN ) unfairly

continued to charge about 48,000 Prime members for the full

subscription service, even though their zip codes were excluded

from the company's fastest service.

Both lawsuits said Amazon ( AMZN ) in 2022 made a decision to stop

using the company's branded trucks to deliver Prime-eligible

packages, and instead used other services such as UPS or the

U.S. Postal Service.

In a statement on Wednesday, Washington, D.C., Attorney

General Brian Schwalb said Amazon ( AMZN ) was charging thousands of D.C.

residents "for an expedited delivery service it promises but

does not provide."

The lawsuits said Prime members living in two of the

District's zip codes only receive promised two-day delivery 24%

of the time. Prior to the changes, Amazon Prime packages were

delivered within two days 72% of the time, the lawsuits said.

The case is King v. Amazon ( AMZN ), U.S. District Court for the

Western District of Washington, No. 2:24-cv-02009.

For plaintiffs: Jarrett Ellzey of Ellzey Kherkher Sanford

Montgomery and Janelle Bailey of Washington Injury Law

For Amazon ( AMZN ): No appearance yet

Read more:

Amazon ( AMZN ) denies duping US consumers over Alexa's recording

practices

US antitrust case against Amazon ( AMZN ) to move forward

Amazon ( AMZN ) slams authors' class action over audiobook

distribution

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Ecopetrol's Reficar refinery awarded nearly 20% of McDermott common capital, company says
Ecopetrol's Reficar refinery awarded nearly 20% of McDermott common capital, company says
Mar 21, 2024
BOGOTA, March 21 (Reuters) - The Reficar oil refinery belonging to Colombia's Ecopetrol was awarded 19.9% of the common capital in infrastructure firm McDermott in preferential shares by a judge in Amsterdam, Ecopetrol said in a statement on Thursday. The refinery is located in the Colombian city of Cartagena. ...
Hong Kong-listed Samsonite plans dual listing in hunt for investors
Hong Kong-listed Samsonite plans dual listing in hunt for investors
Mar 21, 2024
(Reuters) -Luggage maker Samsonite International ( SMSOF ) on Friday said it plans to pursue a dual listing in addition to its listing on the Hong Kong Stock Exchange to increase the liquidity of its shares and reach investors in more markets. Samsonite ( SMSOF ) did not provide details of the exchanges it is considering for the second listing,...
Meta's Instagram down for thousands, Downdetector shows
Meta's Instagram down for thousands, Downdetector shows
Mar 21, 2024
March 21 (Reuters) - Meta Platforms's ( META ) Instagram was down for thousands of users on Thursday, according to outage tracking website Downdetector.com. ...
Oil eases on possible Gaza ceasefire, dollar strength
Oil eases on possible Gaza ceasefire, dollar strength
Mar 21, 2024
SINGAPORE (Reuters) -Oil prices slipped on Friday on the possibility of a nearing Gaza ceasefire that could ease geopolitical concerns in the Middle East, while a stronger dollar and faltering U.S. gasoline demand also weighed on prices. Brent crude futures fell 42 cents, or 0.5%, to $85.36 a barrel by 0203 GMT. U.S. crude futures shed 40 cents, or 0.5%,...
Copyright 2023-2026 - www.financetom.com All Rights Reserved