The U.S. Federal Trade Commission on Wednesday accused Amazon.com of enrolling millions of consumers into its paid subscription Amazon Prime service without their consent and making it hard for them to cancel, the latest action by the agency against the ecommerce giant in recent weeks.
of enrolling millions of consumers into its paid subscription Amazon Prime service without their consent and making it hard for them to cancel, the latest action by the agency against the ecommerce giant in recent weeks.
The lawsuit is one of several actions taken by President Joe Biden's administration intended to rein in the outsized market power of Big Tech firms as it tries to increase competition to create greater consumer protection. The FTC said that "one of Amazon's primary business goals - and the primary business goal of Prime - is increasing subscriber numbers."
"Amazon tricked and trapped people into recurring subscriptions without their consent, not only frustrating users but also costing them significant money," FTC Chair Lina Khan said in a statement.
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FTC Sues Amazon for Tricking ‘Millions’ Into Enrolling in PrimeThe Federal Trade Commission filed a lawsuit against Amazon Wednesday, alleging the online retail giant used “manipulative, coercive, or deceptive” practices to trick consumers into signing up for Prime.
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FTC accuses Amazon of enrolling consumers into Prime without consent and making it hard to cancelThe complaint said that consumers were sometimes presented with a button to complete their transactions - and the button didn't clearly state it was also enrolling them into Prime.
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FTC claims Amazon tricked millions into Prime subscriptionsThe complaint alleges that Amazon’s practices violated the FTC Act and the Restore Online Shoppers’ Confidence Act, a law that mandates clear payment terms in certain online shopping transactions.
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FTC sues Amazon for allegedly tricking customers into Prime subscriptions | EngadgetThe FTC has sued Amazon for allegedly fooling customers into Prime subscriptions and making it difficult to cancel..
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