"The FTC the US agency charged with consumer protection sued Amazon in 2023, under the Biden administration, accusing the company of enrolling tens of millions of customers into its Prime subscription service without consent and locking them in within a labyrinthine cancellation system so laborious and complex it allegedly had a code name: Iliad, after Homer's epic about the slog of the Trojan War. The case went to trial in a federal court in Seattle earlier this week and was expected to last a month."
"The evidence showed that Amazon used sophisticated subscription traps designed to manipulate consumers into enrolling in Prime, and then made it exceedingly hard for consumers to end their subscription, said Ferguson. Today, we are putting billions of dollars back into Americans' pockets, and making sure Amazon never does this again. Under the terms of the settlement, Amazon will be required to include a clear and conspicuous button for customers to decline a Prime subscription while shopping on its platform, the FTC said."
Amazon agreed to pay $2.5bn to settle an FTC lawsuit alleging the company enrolled customers into Prime without consent and made cancellations difficult. The settlement dedicates $1.5bn to a fund to repay eligible subscribers and includes a $1bn civil penalty. The FTC alleged tens of millions were affected and described a labyrinthine cancellation system nicknamed Iliad. The settlement requires Amazon to add a clear, conspicuous option to decline Prime during shopping and to provide an easy cancellation method. The FTC characterized the practices as sophisticated subscription traps; Amazon previously said it had improved those processes.
Read at www.theguardian.com
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