Amazon UK customers could find themselves receiving a share of £900 million in compensation following a lawsuit that has been filed against the online delivery service.
The shopping giant has been hit with accusations that it has breached competition law and manipulated customers into paying higher prices. Julie Hunter, a consumer-rights champion, is leading the accusations after she claimed that the products sold on Amazon's website and app obscure customers from finding better-value deals.
The lawsuit, which is set to be filed at the end of this month, focuses on the e-commerce company's 'Buy Box' feature, which Ms Hunter has claimed deliberately excludes independent sellers, even when they offer the same products at a cheaper price.
Ms Hunter has alleged that Amazon, which is now the largest online delivery service in the world, uses "tricks of design to manipulate consumer choice and direct customers towards the featured offer in its buy box".
Additionally, the consumer-rights champion claimed that the featured offer is the only one considered and selected by the vast majority of users, many of whom trust Amazon and wrongly assume it is the best deal.
She added: "Amazon shouldn't be allowed to set the rules in its favour and treat consumers unfairly. That is why I am bringing this action."
The legal action is set to be filed in the Competition Appeal Tribunal, in London, and it will seek damages from Amazon that could reach up to £900 million.
An Amazon official has since responded to the claim, which they have said is "without merit" and that the company will fight the decision to clear their name.
A representative for the company said: "Amazon has always focused on supporting the 85,000 businesses that sell their products on our UK store - and more than half of all physical product sales on our UK store are from independent selling partners.
"We always work to feature offers that provide customers with low prices and fast delivery."
Who could be eligible for potential compensation?
If the lawsuit goes through, then any UK based customer who has made purchases on Amazon.co.uk or the mobile app since October 2016 could be an eligible claimant.
As the proposed lawsuit is an optout collective-action claim, shoppers who are affected by it will not have to pay any money in costs or fees to participate.
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