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- How to get Amazon Prime settlement refund (foxbusiness.com)
Amazon to Pay $2.5 Billion in Landmark Settlement Over Prime Subscription Practices
E-commerce giant Amazon has agreed to a historic $2.5 billion settlement following accusations that it enrolled customers in its Prime subscription service without their explicit consent and subsequently made it difficult for them to cancel. The Federal Trade Commission (FTC) announced Thursday that the agreement includes a $1 billion civil penalty and an additional $1.5 billion designated for refunds to affected customers.
“Today, we are putting billions of dollars back into Americans’ pockets, and making sure Amazon never does this again,” stated FTC Chairman Andrew Ferguson. He added, “The Trump-Vance FTC is committed to fighting back when companies try to cheat ordinary Americans out of their hard-earned pay.”
The refund portion of the settlement targets specific groups of customers. This includes individuals who reportedly signed up through a “challenge enrollment flow” or experienced difficulties canceling their Prime memberships over a five-year period. To qualify, customers in this group must not have utilized more than 10 Prime benefits during any 12-month enrollment period.
Eligible customers in this group can expect to receive a form from Amazon within 30 days after the conclusion of automatic payouts. Amazon will then have up to 30 days to review and decide on each claim. Individual payments are capped at $51.
In response to the settlement, Amazon spokesperson Mark Blafkin issued a statement asserting that the company and its executives have “always followed the law,” and that the resolution enables them to “move forward and focus on innovating for customers.” Blafkin emphasized Amazon’s efforts to ensure clarity and simplicity in both signing up for and canceling Prime memberships, while also highlighting the value offered to its “many millions of loyal Prime members around the world.”
He concluded by saying they “look forward to what we deliver for Prime members in the coming years.” Amazon also noted that many of the changes outlined by the FTC were already implemented by the company, some years ago.
Beyond the financial payouts, the settlement mandates several operational changes for Amazon. These include implementing a clear button for customers to decline Prime, providing transparent disclosures of Prime terms during the enrollment process, and establishing an easy method for cancellation. Furthermore, Amazon is required to engage a third party to monitor its compliance with the terms of the settlement.
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- How to get Amazon Prime settlement refund (foxbusiness.com)