Settles Lawsuit With Toys “R” Us For $51 Million

Posted Jun 12, 2009

In 2000, signed a deal with Toys “R” Us to handle the online aspect of their business.  Toys “R” Us handled the inventory and procurement. would make sure that Toys “R” Us’ website would run as seamlessly as Every time a purchase would be handled on the website, it would connect to Toys “R” Us’ inventory system.

Toys “R” Us filed a lawsuit against in 2004 for breach of contract.  This is because did not make Toys “R” Us the exclusive provider of toys on their website as agreed.  In 2006, a judge ruled in favor of Toys “R” Us. finally settled with Toys “R” Us yesterday by paying them $51 million.

“On June 11, 2009, entered into a settlement agreement in its lawsuit with Toys ?R? Us, Inc., and its affiliates, with terms that include, among other things, (i) a one-time payment from of $51 million in the third quarter 2009, substantially all of which was unanticipated and will be charged to ‘Other operating expense’ in the second quarter, (ii) dismissal of all claims and counterclaims, and (iii) mutual releases,” stated an filing with the SEC.

Some of the other retailers that is powered by includes Target Corporation,,, etc.

[via TechCrunch]