US EditionAmazon reaches $2.5 billion settlement with FTC over ‘deceptive’ Prime program
- On Thursday, Amazon reached an agreement to pay $2.5 billion to resolve claims brought by the Federal Trade Commission regarding misleading practices surrounding Prime membership sign-ups and difficulties customers faced when trying to cancel.
- The settlement follows a lawsuit filed two years ago in Seattle federal court accusing Amazon of tricking millions into unwanted Prime subscriptions and obstructing cancellation.
- Under the agreement, Amazon must redesign Prime's interface to provide clear cancellation options and disclosures, including an easy method matching customers' signup processes.
- Amazon will pay $1 billion in civil fines—the highest penalty ever imposed by the FTC—and distribute $1.5 billion in restitution to roughly 35 million customers affected by deceptive Prime enrollment and cancellation practices, with some individuals receiving close to $51 each.
- The settlement requires Amazon to cease unlawful enrollment tactics and highlights ongoing regulatory scrutiny of subscription services moving forward.
313 Articles
313 Articles
Amazon agreed to pay $2.5 billion to resolve a lawsuit filed by the Federal Trade Commission (FTC) accusing the company of tricking millions of users into signing up to Amazon Prime and making it difficult for them to cancel. Of this amount, $1.5 billion will be allocated to subscribers affected by “undesired registrations.” Key points of the agreement between Amazon and the FTC The agreement provides for a civil sanction of $2.5 billion, consis…
Amazon has agreed to pay $2.5 billion to settle a lawsuit filed by the US federal government, which accused the company of deceiving millions of people into signing up for its Prime service and then making it difficult for them to cancel. Under the agreement announced by the Federal Trade Commission (FTC), $1.5 billion will be distributed to consumers who were tricked into signing up for the service. This is the largest commercial fine the FTC h…
'Monumental win': Amazon reaches $2.5 billion settlement over tricking consumers into paying for 'Prime' * WorldNetDaily * by Bob Unruh
When a corporation is huge, like Amazon, there are benefits. The customer base is millions, not hundreds or thousands. But there are drawbacks, too, as Amazon discovered when it was accused of tricking many, many of those consumers into paying for its “Prime” program. The result is that it has agreed to a $2.5 billion settlement with the Federal Trade Commission, of which some $1.5 billion will be returned to customers, at about $50 per. The pro…
Amazon to pay $2.5B to settle FTC allegations it duped customers into enrolling in Prime
SEATTLE — Amazon has reached a historic $2.5 billion settlement with the Federal Trade Commission, which said the online retail giant tricked customers into signing up for its Prime memberships and made it difficult for them to cancel after doing…
Coverage Details
Bias Distribution
- 61% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
