A major legal dispute has emerged in Poland’s e-commerce sector. ERLI, the country’s second-largest online marketplace, has filed a lawsuit against Allegro, the market leader, alleging abuse of a dominant position and unfair competition practices. Allegro strongly denies the accusations, describing the lawsuit as retaliatory. (BusinessInsider)
According to ERLI, the case concerns practices that allegedly affect both sellers and consumers by limiting price competition across online sales channels.
Allegations of Enforced Price Parity
ERLI argues that Allegro effectively forces sellers to maintain uniform prices across the internet by linking the visibility and promotion of their offers on Allegro to prices offered outside the platform. In ERLI’s view, sellers who offer lower prices in their own online stores or on competing marketplaces risk losing promotional support on Allegro — not only for the discounted products, but for their entire range.
ERLI claims this mechanism discourages sellers from lowering prices outside Allegro, even when their costs are lower in other sales channels. Given Allegro’s comparatively high sales commissions, sellers are allegedly unable to reduce prices on Allegro itself without sacrificing margins, leaving price increases elsewhere as the only viable option.
As a result, ERLI argues, consumers are deprived of cheaper purchasing options, sellers lose pricing freedom, and Allegro strengthens its market dominance.
ERLI states that these practices amount to abuse of a dominant position and unfair competition, as they allegedly interfere with independent price setting and lead to higher prices for consumers. The company also points to past regulatory and commercial disputes involving Allegro, including a fine imposed by the Polish competition authority in 2022 and a widely reported conflict with logistics provider InPost, as part of a broader pattern of conduct.
“By filing this lawsuit, ERLI seeks to protect hundreds of thousands of businesses and millions of consumers from price dictates,” the company said, adding that it expects Allegro to comply with competition law and act in the interest of the entire market, not solely its own commercial advantage.
Allegro Rejects the Claims
Allegro categorically rejects ERLI’s allegations. The company maintains that it does not impose pricing policies on its partners and that sellers remain free to set prices in any sales channel.
According to Allegro, the lawsuit relates only to two specific areas: the “Allegro Prices” program and advertising of Allegro offers outside the platform, such as in Google ads. Allegro emphasizes that both initiatives are financed by the company itself.
Allegro explains that the “Allegro Prices” program involves subsidizing price reductions to make selected offers more attractive to consumers. The company states that it does not wish to fund promotions or external advertising for offers that are significantly less competitive compared to the broader market.
Participation in these programs, Allegro stresses, is entirely voluntary. In its view, there is nothing unlawful about choosing to allocate its own marketing funds to sellers who offer competitive pricing.
Broader Legal Conflict Between the Parties
Allegro also highlights a wider legal dispute with ERLI, claiming that ERLI unlawfully used Allegro’s API to copy product listings and catalogue content. Against this background, Allegro suggests that the lawsuit should be seen as an act of retaliation.
ERLI rejects this characterization. Its founder and CEO, Adam Ciesielczyk, stated that the company opposes what it describes as “artificial price inflation” and practices harmful to consumers, online merchants, and the credibility of the e-commerce sector as a whole.
Potential Market Implications
ERLI currently hosts more than 35,000 Polish sellers offering over 40 million products, positioning it as the country’s largest marketplace after Allegro. The outcome of the dispute could have significant implications for how dominant platforms structure promotional programs and price-related incentives, as well as for competitive dynamics in Poland’s online retail market.
The case is now set to be examined by the courts, where it may become a landmark dispute for competition law and marketplace practices in the Polish e-commerce sector.