Amazon Faces Trial Over Alleged Deceptive Prime Enrollment Practices
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Amazon Faces Trial Over Alleged Deceptive Prime Enrollment Practices

Summary

Amazon is set to face trial in Seattle over allegations by the Federal Trade Commission that it enrolled consumers into Prime memberships without consent and made cancellations difficult.

Amazon is set to face trial in Seattle this week over allegations by the Federal Trade Commission (FTC) that the company enrolled consumers into its Prime membership program without their consent and made it challenging for them to cancel. The FTC's complaint, filed in June 2023, accuses Amazon of employing "manipulative, coercive, or deceptive" user-interface designs, known as "dark patterns," to trick consumers into automatically renewing their Prime subscriptions.

The agency alleges that during Amazon's online checkout process, consumers were presented with numerous prompts to subscribe to Prime, while options to purchase items without enrolling were less prominent. In some instances, the button to complete a purchase did not clearly indicate that the consumer was also agreeing to a Prime membership.

Furthermore, the FTC claims that Amazon deliberately complicated the cancellation process for Prime subscribers by redirecting them through multiple pages that presented offers to continue the subscription at a discounted price, to turn off the auto-renew feature, or to decide not to cancel.

An Amazon spokesperson stated, "neither Amazon nor the individual defendants did anything wrong," and expressed confidence that the facts will show the executives acted properly and always put customers first.

Jury selection for the trial is scheduled to begin Monday, with opening arguments and possible witness testimony expected on Tuesday. The trial, held at the U.S. District Court for the Western District of Washington, is anticipated to last up to four weeks. Prime members, who pay $14.99 monthly or $139 annually, receive benefits such as free shipping on certain items, faster delivery times, and access to Prime Video, Amazon's streaming service.

Source

CBS News

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