Waco, Texas — A U.S. LTL freight company has filed suit against Amazon Fulfillment Services, claiming the high-profile online retailer owes millions of dollars in shipping fees, broke its contract and tried to bully the freight company into providing service at reduced rates.
The Waco Tribune-Herald reports that the suit, filed in a federal court in California, by Waco, Texas-based Central Freight Lines, claims Amazon owes more than $2 million in past-due payments and that Central has suffered $1 million in damages.
The Los Angeles, California, law firm of Akerman LLP filed the suit on behalf of Central, and has requested a jury trial.
The suit says Central Freight and Amazon, a major shipper of electronics, apparel, computers and books, entered into an agreement that became effective on July 7, 2011, and that they had renewed the agreement annually.
“Central Freight has fully performed under the agreement,” the suit states.
It adds that Amazon has falsely claimed Central overcharged for its freight services; attempted to force Central to accept billing and procedure changes the hauler did not endorse; failed to honor billing arrangements specifically agreed to by the parties; and terminated Central as its carrier “when it refused to accept Amazon’s unilateral modifications to the agreement.”
It also claims that Amazon withheld payments for other unrelated freight services provided by Central Freight.