The online division of Toys R Us sued Amazon.com on Monday, 'to protect its exclusivity rights in the Toy and Game and Baby Products categories.'  According to the suit, Toys R Us was to be the exclusive seller of toy, game, and baby products on the Amazon.com platform through 2010, but as of May 17th, '...there were more than 4,000 products in exclusive categories being offered through competitive retailers on the Amazon.com platform.'

 

Toys R Us pays a lot for its relationship with Amazon -- around $200 million since the deal was signed in 2000. 

 

An Amazon spokesperson said that Toys R Us' charges are 'without merit,' and that Amazon's relationships with other sellers are to build selection 'consistent with ...contractual commitments.'

 

The suit asks for a repayment of the fees paid to date, and an injunction blocking Amazon from a new retail auction platform that Amazon is planning.

 

Toys R Us' announcement of the suit indicated that the company expected no disruption of its relationship with Amazon during the litigation.

 

While losing money, Toys R Us' online sales have been one of the few areas where the top line has been growing in recent years.