Amazon has now been accused of exploiting its customers and during such a sensitive time as the lockdown and the COVID-19 pandemic.
People are already dealing with the virus and its impact, and taking advantage of them at such a vulnerable time is just wrong on so many levels.
Amazon has been sued for “exploiting consumers in their most vulnerable hour.”
During the pandemic, Amazon’s prices increased due to a class-action lawsuit.
Amazon shoppers across the US have filed a lawsuit against the company on behalf of all those who purchased such products.
According to the law firm Hagens Berman, the e-commerce giant increased the prices for medical items, cleaning products, canned food, and other necessary supplies during the Coronavirus pandemic.
Due to the COVID-19 pandemic, American customers also purchased commodities on Amazon and other online e-commerce platforms in the spring of 2020. According to the lawsuit, “In this environment-consistent with the pressure from government and health officials-consumers have turned to online purchasing, and Amazon in particular, to meet their essential needs.”
This complaint, which was first filed in April 2020 in California’s Northern District Court, states, “Many of the unlawful increases were on sales of products supplied by third parties, sales that Amazon controls and profits from heavily.”
No particular federal law makes such practices illegal; however, many states have outlawed these practices during an emergency, such as a natural disaster or pandemic.
Prices of everyday household products increased by 1000% during the lockdown.
According to the lawsuit, Amazon had increased the prices of various products available on its platform. The price of face masks, for instance, has gone up by 500%; the masks were initially priced at $20, but they now cost $120. Disinfectants have seen a 100% increase, while black beans have seen a 672% increase. As well as a 1000% price hike on some items, the lawsuit asserts.
Some other commodities were sold at higher prices, such as pain relievers, flour, or cold remedies.
Four thousand sellers were removed from Amazon’s platform for price gouging during the pandemic last year. Months later, however, it was discovered that sellers were charging up to 14 times more than other retailers for everyday household items like soap and hand sanitizer.