Amazon wins reprieve against

Injunction lifted

An appeals court this week lifted an injunction from in its dispute with, according to the Associated Press. It follows a lawsuit filed last year by the toy seller, accusing of breaching an exclusivity agreement., the internet subsidiary of Toys 'R' Us, sued in May 2004. It alleged that had violated an agreement signed in 2000 stipulating that would be the only authorised seller of toy, game and baby products on the platform – a deal for which is reported to have agreed to pay $200m.

The lawsuit accused of breaching the exclusivity part of the deal. In early June, won an injunction, prohibiting from allowing other sellers to use the site for the sale of toys, games and baby products. then filed its own lawsuit, asking the court to end the agreement and to award it $750m in damages. According to press reports, it accused of a “chronic failure” to comply with the contract terms by failing to have sufficient products in stock, and in failing to choose the top-selling toys.

The injunction, which had already been eased following arguments by the bookseller that the injunction would prevent it launching a new graphical user interface service, has now been lifted.

According to the Associated Press, the State Appeals Court ruled that Judge Margaret McVeigh had not properly considered the language of the contract between the two firms when granting the injunction.

Representatives from both Amazon and Toys R Us refused to comment on the ruling.

The case is due to go to trial on 13 June.

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