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A New Jersey Superior Court judge has ordered and Toys R Us to continue to work together selling toys and games online and then fulfilling those orders to consumers – even though the companies are suing each other charging breach of contract.

The court battle began when Toys R Us sued Amazon, charging that the online retailer had violated an exclusivity agreement by allowing other companies to sell toys and games over its site.

Amazon countersued, citing a "chronic failure" by Toys R Us to adhere to their contract, including by keeping items in stock.

Now, according to the judge, Amazon must continue selling Toys R Us products and has to make sure that other companies do not sell items on its site that Toys R Us does – with a potential fine of $1,000 per product that breaches the exclusivity agreement.

Meanwhile, Toys R Us reportedly is considering selling off its entire fleet of toy stores and concentrating instead on its Babies R Us business.
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