Tag

Deceptive Practices

All articles tagged with #deceptive practices

Amazon to auto-pay millions in expanded Prime refund settlement starting Oct. 1
consumer-protection8 days ago

Amazon to auto-pay millions in expanded Prime refund settlement starting Oct. 1

Starting October 1, 2026, Amazon will automatically issue refunds to millions of Prime subscribers under an expanded $2.5 billion settlement with the Federal Trade Commission. The expansion widens eligibility to users who accessed 11 to 20 Prime benefits in a year and raises the maximum payout from $51 to $200. Consumers do not need to file claims, but officials warn that scammers may exploit the news to steal personal information.

FTC Cracks Down on Amway with $225 Million Settlement Over Deceptive MLM Tactics
business21 days ago

FTC Cracks Down on Amway with $225 Million Settlement Over Deceptive MLM Tactics

The FTC and the state of Washington announced a $225 million settlement with Amway and two affiliates (WWG and LTD) over allegedly deceptive and unfair recruitment tactics in its multilevel marketing model, including exaggerated earnings claims and pressuring Independent Business Owners to buy products they couldn’t resell. The settlement, the FTC’s largest monetary recovery in an MLM case, imposes changes such as requiring IBOs to sell at least 70% of purchased products each month, reducing recruiters’ pay if purchases aren’t resold, mandating prompt reporting of customer sales with receipts, terminating fake-sellers, regular independent audits of sales records, mandatory pre-recruitment training, and prohibiting providers from charging new IBOs for training in the first year; most of the judgment proceeds will go to harmed IBOs under a redress program.

Major Companies Owe You Money: How to Claim Your Share
business11 months ago

Major Companies Owe You Money: How to Claim Your Share

Amazon has settled with the FTC for $2.5 billion over deceptive Prime enrollment practices, with $1.5 billion allocated for refunds to affected customers who signed up through certain enrollment flows between 2019 and 2025. Eligible customers may receive automatic refunds up to $51 or submit claims for additional refunds, with further phases possible if funds remain.

Amazon to pay $2.5B settlement; learn how to claim your refund
business1 year ago

Amazon to pay $2.5B settlement; learn how to claim your refund

Amazon has agreed to pay a $2.5 billion settlement after the FTC accused it of deceptive practices in Prime subscriptions, including tricking customers into signing up for more expensive plans and making cancellations difficult. Customers affected since 2019 can receive up to $51 in refunds, and Amazon is required to improve transparency and ease of cancellation. The FTC's largest civil penalty involves Amazon's violations of consumer protection rules.

Amazon Settles U.S. Lawsuit Over Prime Deception
business1 year ago

Amazon Settles U.S. Lawsuit Over Prime Deception

Amazon has agreed to pay $2.5 billion to settle a U.S. lawsuit alleging it used manipulative web designs to trick customers into Prime subscriptions and make cancellations difficult, with refunds available for affected users and changes to subscription display practices. The case is part of ongoing antitrust scrutiny, including a larger lawsuit expected in 2027, with Amazon denying wrongdoing.

Trial Begins to Determine if Amazon Deceived Customers into Prime Sign-Ups
business1 year ago

Trial Begins to Determine if Amazon Deceived Customers into Prime Sign-Ups

The FTC is suing Amazon over alleged deceptive practices in its Prime subscription sign-up and cancellation processes, claiming Amazon used manipulative interfaces to trick consumers into enrolling and made cancellations difficult. The trial, starting this week, will determine if Amazon violated laws, with the company defending its actions. Amazon has since made changes to its cancellation process.