Amazon Expands Refund Eligibility for Affected Prime Customers
Amazon Prime customers are set to receive refunds of up to $200 after the Federal Trade Commission (FTC) revised its settlement order with the company. The revised settlement, which was reached following a $2.5 billion lawsuit against Amazon, will see automatic refunds sent to eligible customers starting October 1.
The FTC's lawsuit alleged that Amazon enrolled tens of millions of customers in Prime subscriptions without their knowledge or consent and made it difficult for them to cancel their subscriptions. As part of the settlement, Amazon is required to pay $1.5 billion in refunds to affected customers, as well as a $1 billion civil penalty.
Under the revised settlement order, customers are eligible for a refund if they meet three requirements: they must be an Amazon Prime customer in the United States, have signed up for Prime through a 'challenged enrollment flow' or tried to cancel their subscription between June 23, 2019 and June 23, 2025, and have used no more than 20 Amazon Prime benefits in any 12-month period following their Prime enrollment.
No action is needed from customers to receive their refund, which will be sent by mailed check or electronic payment. Eligible customers can expect to receive a maximum total payment of $200, up from the earlier cap of $51 per customer.