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Business

Amazon faces class motion lawsuit over unreturned tariff prices to customers

Editor
Last updated: May 16, 2026 10:40 am
Editor
Published: May 16, 2026
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Amazon faces class motion lawsuit over unreturned tariff prices to customers


Novo Nordisk CEO Mike Doustdar particulars the corporate’s Amazon partnership, advantages of Ozempic past weight reduction and extra on ‘The Claman Countdown.’

Amazon is going through a brand new class motion lawsuit accusing the corporate of failing to refund tariff-related prices it handed on to customers by means of greater costs with a view to appease the Trump administration.

Shoppers allege in a proposed lawsuit filed in Seattle that the tech big collected a whole lot of tens of millions of {dollars} in illegal tariff prices by elevating costs on imported items earlier than the U.S. Supreme Court docket dominated in February that President Donald Trump lacked authority beneath the Worldwide Emergency Financial Powers Act (IEEPA) to impose sure tariffs.

Whereas hundreds of firms have sought billions of {dollars} in refunds from the federal government following the ruling, Amazon has failed to take action, the criticism states, “not as a result of it lacks a authorized foundation to take action, however as a result of it seeks to curry favor with Trump by permitting the federal authorities to retain the funds.”

“Amazon’s determination to forgo restoration serves its personal political and business pursuits on the direct expense of the customers who bore the tariff prices within the first place,” the lawsuit alleges.

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The Amazon brand is displayed on the façade of Amazon Germany’s headquarters in Parkstadt Schwabing, Munich, Bavaria, on Jan. 27, 2026. (Matthias Balk/image alliance through Getty Photos / Getty Photos)

“The issue is that the funds Amazon is utilizing to remain within the President’s good graces don’t belong to Amazon,” the criticism continues. “These funds had been wrongfully taken from customers to cowl IEEPA tariffs which have since been invalidated. These funds belong to the customers who paid them.”

The lawsuit additionally alleges Amazon “has no intention” of returning the prices handed on to customers.

“It has, in brief, generated and retained a windfall from illegal authorities motion, and customers — not Amazon — are those left paying for it,” the submitting states.

The criticism accuses Amazon of unjust enrichment and violating Washington state’s consumer-protection regulation.

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People walk past the US Supreme Court in Washington, DC

The U.S. Supreme Court docket dominated 6-3 that the Worldwide Emergency Financial Powers Act doesn’t authorize the president to impose broad tariffs. (MANDEL NGAN/AFP through Getty Photos / Getty Photos)

The authorized conflict comes after customers filed related lawsuits towards firms, together with Nike and Costco, over claims they didn’t cross tariff-related refunds on to prospects.

The lawsuit towards Amazon additionally alleges the corporate confronted White Home pushback in April 2025 after reviews surfaced that it was contemplating displaying how a lot of a product’s value stemmed from IEEPA tariffs.

Ticker Safety Final Change Change %
AMZN AMAZON.COM INC. 264.14 -3.08 -1.15%

Amazon denied the report, saying it by no means thought of itemizing tariff-related costs on its important retail website. Nevertheless, the lawsuit alleges the report prompted Trump to name Amazon Govt Chairman Jeff Bezos to complain.

CLICK HERE TO GET FOX BUSINESS ON THE GO

Nike store in Portland, Oregon

Nike and Costco are each tied to tariff-related lawsuits. (Natalie Behring/Bloomberg through Getty Photos / Getty Photos)

Greater than 2,000 firms have filed fits within the U.S. Court docket of Worldwide Commerce looking for to get well tariffs paid on imported items.

FOX Enterprise has reached out to Amazon and the White Home for remark.

Reuters contributed to this report.

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