Amazon users can claim one-time payment from ‘historic’ Prime settlement
Amazon to settle lawsuit over Prime. Here’s what it means for you
Amazon has agreed to a $2.5 billion settlement with the Federal Trade Commission (FTC) concerning its Prime membership program.
The FTC alleged that Amazon misled millions of users into subscribing to Prime and deliberately made the cancellation process convoluted.
The settlement includes a $1 billion civil penalty, the largest ever in a case involving an FTC rule violation, and $1.5 billion that will be paid out to eligible customers.
Customers who signed up through Amazon's “Single Page Checkout” between June 23, 2019, and June 23, 2025 could be eligible for payment.
Amazon, while admitting no wrongdoing, must now provide clear disclosures about Prime terms during enrollment and offer an easy method for users to cancel their subscriptions.