On Wednesday, Amazon lost its fight to suspend a requirement related to its online advertising under EU tech rules. The European Union’s top court backed EU regulators, stating that EU interests outweigh Amazon’s material interests.
The Digital Services Act (DSA) came into effect last year, designating Amazon as a very large online platform subject to strict rules aimed at tackling illegal and harmful content on its platform.
Amazon challenged a DSA requirement to make a repository available that contains detailed information about its online advertising and requested an interim measure until the court rules on the case. In September, a lower tribunal agreed to Amazon’s request for an interim measure to suspend the obligation. This prompted the European Commission to turn to the top court.
The Court of Justice of the European Union (CJEU) set aside the suspension order and dismissed Amazon’s application for an interim measure. The judge stated that Amazon’s argument that the obligation unlawfully limits its fundamental rights to respect for private life and the freedom to conduct a business was not irrelevant. However, he said that without a suspension, Amazon would likely suffer serious and irreparable harm before any judgment annulling the Commission’s decision.
The judge also stated that a suspension could have a harmful impact on the objectives of the DSA. “Suspension would lead to a delay, potentially for several years, in the full achievement of the objectives of the Regulation on a Single Market for Digital Services and therefore potentially allow an online environment threatening fundamental rights to persist or develop,” the judge said.
The judge concluded that the interests defended by the EU legislature prevail over Amazon’s material interests, and therefore, the balancing of interests favors rejecting the request for suspension. In response to the decision, Amazon said: “We are disappointed with this decision, and maintain that Amazon doesn’t fit the description of a ‘Very Large Online Platform’ (VLOP) under the DSA, and should not be designated as such.
” The case is C-639/23 P(R) | Commission v Amazon Services Europe.