The dispute centers on Amazon.com Services LLC's lawsuit against artificial intelligence company Perplexity AI, which is simultaneously defending against the e-commerce giant in federal court while pursuing an expedited appeal to the Ninth Circuit. The case appears to involve intellectual property or technology disputes, though the specific claims remain unclear from the procedural order.
Judge Chesney granted partial relief by staying Perplexity's deadline to respond to Amazon's complaint until a case management conference scheduled for May 15, 2026, but rejected the company's bid to accelerate the briefing schedule. 'Given plaintiff's upcoming deadline of April 22, 2026, to file an answering appellate brief, the timing of the Motion to Stay, let alone the request for expedited briefing, imposes an unnecessary burden on plaintiff,' Chesney wrote.
The court delivered its sharpest criticism of Perplexity's litigation strategy, noting the company's poor timing in seeking emergency relief. As Chesney observed, 'defendant could have filed its Motion to Stay considerably farther in advance of its deadline to respond to plaintiffs' Complaint, thereby eliminating the need to seek expedited briefing.'
Perplexity filed both its motion to stay proceedings and administrative motion to shorten time on April 7, 2026, seeking to halt the district court case while pursuing what it described as an 'expedited appeal to the Ninth Circuit.' Amazon opposed the administrative motion for shortened briefing deadlines, arguing against the compressed timeline.
Despite criticizing Perplexity's timing, Judge Chesney acknowledged that some relief was appropriate given the early stage of litigation and the potential impact of the appellate proceedings. The court found that 'the likelihood of a determination by the Ninth Circuit Court of Appeals bearing on the resolution of legal questions raised in this Court' justified staying Perplexity's response deadline.
The ruling reflects the complex procedural posture of a case proceeding simultaneously in district court and on appeal, with both parties navigating overlapping deadlines across multiple forums. The stay of Perplexity's response to the complaint will likely delay substantive litigation until the appellate issues are resolved.
Amazon now has until May 6, 2026, to file its opposition to Perplexity's motion to stay proceedings, while Perplexity's deadline to answer the complaint remains suspended. The case management conference on May 15 will determine the next steps in the litigation timeline.