If you thought your Amazon Prime signup process was a little confusing, it's not just you. The Federal Trade Commission filed a lawsuit against Amazon in 2023, alleging that the retail giant misled customers in marketing Prime subscriptions to its customers. In September, Amazon agreed to pay a $2.5 billion settlement , one of the largest in US history.
The FTC said $1.5 billion will go into a fund to repay eligible subscribers, with the remaining $1 billion collected as a civil penalty. And while Amazon did not admit to wrongdoing, it's still making changes to how it presents the service. The settlement requires Amazon to add a "clear and conspicuous" option to decline Prime during checkout and to simplify the cancellation process.
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