A federal judge in Washington state has dealt a significant blow to Amazon's legal defense in an ongoing class-action lawsuit concerning its dietary supplement labeling practices. The June 26, 2025 ruling denied Amazon's motion to dismiss the case, allowing consumer allegations about misleading product claims to proceed through the judicial system.
The Core Allegations
Plaintiffs allege that Amazon systematically sells dietary supplements featuring "structure/function claims" on their labels without including legally required disclaimers. These claims – which describe how nutrients may affect bodily structure or function – allegedly mislead consumers into believing the products have received FDA approval when no such evaluation occurred.
U.S. District Judge Tana Lin noted in her decision: "Plaintiffs plausibly allege Amazon engaged in a uniform, systematic practice of marketing and selling dietary supplements while omitting required disclaimers for structure/function claims." This finding suggests the court views this as a systemic issue rather than isolated product defects.
America's $50.9 Billion Supplement Dilemma
The lawsuit highlights enduring regulatory gray areas in the U.S. dietary supplement market, valued at $50.91 billion in 2022 with projected 5.7% annual growth through 2030. Unlike pharmaceuticals, supplements don't require pre-market FDA approval under the 1994 Dietary Supplement Health and Education Act (DSHEA).
This regulatory framework creates tension between:
- Consumer demand for health products (expected to drive natural/organic sales to $384 billion by 2028)
- Industry resistance to stricter oversight
- FDA's limited resources for post-market surveillance
Amazon's Defense Strategy Falters
The e-commerce giant argued that plaintiffs lacked standing to challenge supplements they hadn't personally purchased. Judge Lin rejected this position, finding sufficient similarity between purchased and unpurchased products to allow the case to proceed. The ruling indicates courts may hold platforms accountable for overarching business practices rather than individual transactions.
A Pattern of Regulatory Challenges
This isn't Amazon's first dietary supplement controversy. In 2023, separate plaintiffs filed similar claims alleging promotion of "illegal and defective therapeutic dietary supplement drugs." These repeated legal challenges suggest persistent gaps in Amazon's supplement oversight despite its market dominance.
Legal Heavyweights Enter the Fray
The plaintiff team includes notable attorneys from Just Food Law and Boies Schiller Flexner LLP – a firm renowned for complex commercial litigation. Their involvement signals the case's potential to establish important precedents for e-commerce supplement sales.
Consumer Protection Takeaways
Shoppers should:
- Scrutinize labels for mandatory FDA disclaimers (e.g., "These statements haven't been evaluated by the FDA...")
- Understand that structure/function claims describe nutritional support, not medical treatment
- Document questionable products for potential legal action
Industry Implications
The case arrives as global demand for wellness products surges. With proper disclaimers being a focal point, the outcome could reshape labeling standards across online marketplaces. Platforms may need to implement more rigorous verification systems for supplement claims to avoid similar litigation.
The case continues in U.S. District Court for the Western District of Washington as Services LLC v. Amazon.com Inc. , Case No. 2:23-cv-01975.