M-Edge of Maryland, a company who churns out a fair number of Kindle cases, just filed a suit against Amazon last week. The Wall Street Journal reports that M-Edge has had enough with Amazon’s tricks up its sleeve, where the latter has tried time and again to change the terms of a contract which was agreed upon originally a couple of years ago. This case of corporate “bullying” has happened each time M-Edge decided to stand up for its rights. In the original contract, it is said that Amazon would be on the receiving end of a 15% commission on all sales which occur via Amazon’s Kindle store front, and Amazon got greedy after that by requesting an increase in commission to 32% – which is more than double, while threatening the Maryland-based company that it will remove M-Edge cases should there be no compliance.
Not only that, once the new terms were agreed upon, M-Edge claims that Amazon proceeded by asking for the difference in commission which M-Edge “owes” them on cases that were sold prior to the increase. What do you think of this lawsuit – does M-Edge look like they have an, er, edge over Amazon, or is it just a case of sour grapes in an attempt to sully Amazon’s name? Hopefully the truth will surface in due time.