Amazon Fined $2.5B for Deceptive Prime Membership Tactics
Update: 2025-11-17
Description
The Federal Trade Commission has imposed a $2.5 billion settlement on Amazon for allegedly using deceptive tactics to enroll customers in Prime memberships and make cancellation difficult. The settlement includes a $1.5 billion refund fund for eligible subscribers and a $1 billion civil penalty. Amazon maintains it followed the law, but the settlement requires changes to ensure clear and easy opt-out options. The lawsuit targeted manipulative UI designs, violating consumer protection acts. Eligible customers may receive up to $51 in refunds.
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