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Jury Weighs FTC Case Claiming Amazon Tricked Customers Into Prime and Hindered Cancellations

A pretrial ruling found a ROSCA violation for collecting billing details before disclosing Prime terms and put two executives at risk of personal liability.

Overview

  • Jury selection began Monday in Seattle, with opening statements expected Tuesday and a trial timeline of roughly four weeks.
  • The FTC alleges Amazon used deceptive design to steer users into paid Prime enrollments and maintained an “Iliad” cancellation flow requiring multiple pages, clicks, and options.
  • Judge John H. Chun has already held that Amazon violated ROSCA on billing-before-disclosure and curtailed some defenses after earlier admonishing the company over withheld documents.
  • Prime leaders Neil Lindsay and Jamil Ghani could be held personally liable if violations are found, and jurors could also find liability for Russell Grandinetti.
  • Amazon denies wrongdoing, says its processes are clear and useful to customers and have been improved, while the FTC seeks penalties, monetary relief, and injunctions that could force changes to sign-up and cancellation designs.