The U.S. Federal Trade Commission (FTC) confirmed Wednesday that it does not need to delay its September trial against Amazon (AMZN.O), reversing an earlier claim that resource shortfalls due to government cost-cutting required an extension.
FTC Reaffirms Readiness for Trial
Jonathan Cohen, an FTC attorney, clarified his earlier remarks, stating that the agency is fully prepared for litigation.
“The Commission does not have resource constraints, and we are fully prepared to litigate this case. Please be assured that the FTC will meet whatever schedule and deadlines the court sets,” Cohen wrote in a statement to U.S. District Judge John Chun in Seattle.
FTC Chairman Andrew Ferguson also emphasized the agency’s commitment to the lawsuit, stating, “The Trump-Vance FTC will never back down from taking on Big Tech.”
Initial Concerns Over Resource Cuts
Earlier on Wednesday, Cohen had described a “dire resource situation” due to cost-cutting measures enacted by President Donald Trump.
“We have lost employees in the agency, in our division, and on our case team,” Cohen said in court.
The FTC, which enforces consumer protection and antitrust laws, has avoided large-scale reductions in force, unlike other agencies such as the Environmental Protection Agency and the Department of Education, which have faced drastic staffing cuts under Elon Musk’s Department of Government Efficiency (DOGE).
Trump’s Hiring Restrictions and FTC Challenges
Despite not facing major layoffs, Cohen noted that several attorneys working on the case resigned after the administration sent a resignation offer in January. The agency is also under a hiring freeze, and an executive order signed by Trump in February limits new hires to one employee for every four who leave.
The FTC has accused Amazon of using “dark patterns” to trick consumers into signing up for automatically renewing Prime subscriptions. Amazon denies any wrongdoing, and the case involves claims worth at least $1 billion.
Logistical Challenges for the FTC
Cohen cited multiple issues affecting the agency, including:
- New rules requiring FTC attorneys to purchase legal transcripts on the cheapest delivery schedule, delaying access to documents.
- A decision by the Trump administration to not renew the lease on the FTC’s primary office building, meaning attorneys may need to relocate in the middle of trial preparation.
- Limited travel budgets for FTC staff working on the case.
Judge Chun pressed Cohen on the agency’s situation, asking, “If you are in crisis now as far as resources, how are things going to be different in two months?” Cohen responded, “I cannot guarantee that things won’t be even worse.”
Amazon Opposes Delays
Amazon attorney John Hueston urged the court not to reschedule the trial, stating that attorney turnover is normal in major legal cases.
“Trial attorneys come and go in every case, DOGE or no DOGE,” Hueston argued, referencing Musk’s Department of Government Efficiency.