Violating terms of the agreement between the companies

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Reference no: EM13752182

In 2004, Toys"R"Us sued Amazon.com for violating terms of the agreement between the companies; specifically, Toys"R"Us objected to Amazon.com's permitting Amazon Marketplace retailers to sell toys. (Note: When the lawsuit was filed, Amazon Marketplace was called "zShops.") Amazon.com responded by filing a countersuit. After more than two years of litigation, a New Jersey Superior Court judge ruled that the agreement had been violated by both parties. The judge ordered that the agreement be terminated and denied both companies' claims for monetary damages. Amazon.com appealed the ruling. In 2009, an appellate court affirmed the lower court ruling but reversed the ruling on damages, which had awarded Toys"R"Us $93 million plus interest. In June 2009, the two companies finally agreed in an out-of-court settlement that Amazon.com would pay damages of $51 million. Use your favorite search engine and the Web Links for Case C1 to review the courts' findings and rulings. Prepare a report of about 200 words in which you summarize each company's arguments and the rationale given by the judges for their decisions. Conclude the report by stating what you believe the outcome of the dispute should have been and why.

Reference no: EM13752182

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