The Supreme Court on Monday rejected an appeal from UPS that would have required the Post Office to raise the prices. it charges for package delivery creating a potential windfall for its partner Amazon.
In United Parcel Service v. Postal Regulatory Commission, justices did not side with the argument that the Postal Service – which competes with UPS in delivery – has a pricing model that gives it an advantage.
An appeals court had previously determined that the parcel pricing method used by the agency was valid. UPS then unsuccessfully asked the Supreme Court to review that decision, and to clarify or overturn a policy whereby “courts generally defer to an administrative agency’s reasonable interpretation of an ambiguous statute that it administers.”
UPS said it was “disappointed” and that it would “continue to work with the Postal Regulatory Commission to advocate for transparent cost accounting at the USPS.”