Attorney General Rob Bonta sued Amazon in 2022 under California’s antitrust and unfair competition laws, alleging the company used its market leverage to coerce vendors into price fixes. The suit is scheduled for trial next year, with a judge set to consider an immediate injunction in July.

The complaint describes a scheme where Amazon warned vendors that failure to match or raise prices on competing sites would result in promotion restrictions or product removals. One example cites Levi Strauss raising khaki pants to $29.99 after Amazon flagged lower Walmart prices; similar tactics reportedly spanned home decor, garden and pet care items.

Amazon has dismissed the motion for a preliminary injunction as distracting from weak claims and maintains it offers America’s lowest online prices. Both sides will present arguments in July, with potential remedies ranging from injunctions halting the practices to financial penalties if the court finds unlawful conduct.