This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Amazon Hits Back at Toys "R" Us (AMZN) has fired back at Toys "R" Us (TOY) in the companies' dispute over a marketing agreement, charging in a counter-suit that the toy retailer broke the agreement and is asking for damages in excess of $750 million.

Toys "R" Us did not live up to its obligation under the disputed deal to identify hundreds of top-selling toys and baby products, Amazon charged. The toy chain also failed to keep Amazon's virtual shelves stocked, especially during the holiday season, Amazon said in its complaint.

Toys "R" Us' "chronic unwillingness or inability .... to offer a comprehensive selection of top-selling toys and games and baby products on the Web site, and to keep those items in stock .... causes real harm to Amazon," the e-tailer alleged in its counter-suit. "Such harm includes lost product sales revenue, damage to's brand, and's inability to offer a comprehensive .... selection of products." representatives declined to comment about the counter-suit.

"We believe this counterclaim has no merit," Toys "R" Us spokeswoman Susan McLaughlin said in a statement.

McLaughlin declined to comment further, saying that the two companies are currently in mediation.

Amazon began hosting Web stores for Toys "R" Us in 2000 as part of a 10-year agreement. The deal was the first major alliance Amazon struck with a brick-and-mortar retailer. Since then, the company has signed deals with Target (TGT), Circuit City (CC) and other companies to host their online stores.

In a suit filed last month, Toys "R" Us charged that Amazon had violated their agreement. The toy retailer claimed that Amazon had promised the company that it would be the exclusive vendor of toys, games and baby products on its site under that deal. But Toys "R" Us claimed that Amazon had since allowed rival toy sellers to offer thousands of competing products on its site.

As part of its suit, Toys "R" Us claimed some $200 million in damages.

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,778.15 +421.28 2.43%
S&P 500 2,061.23 +48.34 2.40%
NASDAQ 4,748.3960 +104.0840 2.24%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs