Amazon Faces Prime Day Lawsuit Over Alleged Fake Sales
Amazon is being sued by two shoppers who claim the retailer exaggerated discounts during its popular Prime Day events.
The new Amazon fake sales lawsuit argues that some Prime Day deals were based on inflated list prices, not genuine markdowns. The suit, filed in Washington state, accuses Amazon of creating false impressions of savings by using “fictional” list prices.
One example cited a pair of earbuds listed as 44% off, though the same item had sold for far less in the months leading up to the sale. Another example involved a children’s tablet that was supposedly 40% off, but had been regularly available at a lower price.
The plaintiffs say they would have shopped elsewhere if they knew the true pricing history. They claim the company’s tactics were designed to boost traffic and create artificial urgency during high-profile sales. Amazon, they argue, used inflated comparisons to make routine discounts seem extraordinary.
What the Prime Day Lawsuit Alleges
The plaintiffs, from California and Maryland, claim they were misled by the deceptive pricing Amazon displayed during its major shopping events. They say Amazon used inflated prices to “lure in” customers who otherwise might have compared prices or waited for a legitimate sale.
According to the complaint, these tactics gave the impression of steep savings that didn’t exist. The lawsuit calls this a violation of consumer protection laws that prohibit deceptive advertising. Amazon has declined to comment on the allegations.
Ties to the Amazon FTC Settlement
This case comes shortly after the Amazon FTC settlement, in which the company agreed to pay $2.5 billion following accusations it tricked users into unwanted Prime subscriptions and made canceling difficult.
The Federal Trade Commission said Amazon designed its site to confuse customers, using a process internally nicknamed “Iliad,” which required multiple confirmation steps before cancellation.
The FTC case cited the Restore Online Shoppers’ Confidence Act, which ensures consumers know what they are signing up for online.
Amazon admitted no wrongdoing, but promised to simplify how users join or leave Prime. The company also pledged to increase transparency in its marketing, though critics argue its latest sales tactics show little has changed.
Why Deceptive Pricing Matters
Consumer advocates say the deceptive pricing Amazon is accused of using can undermine shopper trust across the entire e-commerce industry. Prime Day deals are some of the most heavily promoted sales in the world, often setting the tone for retail discounts across multiple platforms.
If the court finds the claims valid, the case could set new standards for how online retailers advertise price comparisons and limited-time deals.
It could also lead to greater scrutiny of how platforms define “list prices” and show percentage discounts. Regulators and competitors alike will be watching to see whether Amazon revises its pricing model before next year’s event.
Looking Ahead for Shoppers
For now, the Prime Day lawsuit is still in its early stages, but it adds pressure to one of the largest online marketplaces in the world. Regulators are already watching how Amazon handles both pricing and memberships.
Meanwhile, shoppers may become more cautious about trusting that bright red “deal” tag during the next round of sales, and even go elsewhere.
At a time when inflation has already made consumers more price-sensitive, transparency could become one of the most valuable currencies in retail.
The outcome of this lawsuit might not just shape Amazon’s next Prime Day, but also influence how major retailers market their discounts going forward.
Did you find this information useful? Feel free to bookmark or to post to your timeline to share with your friends.