Overview
- Amazon will pay a $1 billion civil penalty and $1.5 billion for consumer refunds, without admitting wrongdoing.
- Refunds target an estimated 35 million customers, with payouts up to about $51 per valid claim and claims details to be set by the court.
- The order requires a clear option to decline Prime, simpler cancellation using the same method as sign‑up, and prominent disclosures on price, auto‑renewal and charges.
- Amazon must drop misleading prompts such as the 'No, I don’t want Free Shipping' button and fund an independent third‑party monitor to oversee compliance.
- The settlement was announced days into a Seattle jury trial stemming from the FTC’s 2023 lawsuit; restrictions also apply to executives Jamil Ghani and Neil Lindsay.