A jury will begin hearing arguments this week in a highly anticipated lawsuit the Federal Trade Commission (FTC) brought against Amazon more than two years ago, alleging that the media giant is “duping” customers into subscribing to Prime.
The FTC filed its lawsuit against Amazon in June 2023, alleging the company enrolled customers into its Prime subscription program without their consent and knowingly made it difficult for them to cancel their subscriptions. The FTC alleges Amazon used “manipulative, coercive or deceptive user interface designs” to trick customers into enrolling in Prime’s auto-renewal subscriptions.
Jury members for the case, filed in the U.S. District Court for the Western District of Washington, were selected on Monday, Sept. 22. The first hearing for the trial, which is expected to last several months, begins Tuesday, Sept. 23, according to court documents.
The ongoing lawsuit isn’t the first time the FTC has made a fuss about Amazon’s operations recently. In July, the FTC warned Amazon that several third-party sellers on the site falsely claimed that their products were made in the United States. The FTC urged Amazon to take “corrective action” against these sellers.
As the trial gets underway, here’s what we know about the ongoing lawsuit.
“Amazon tricked and trapped people into recurring subscriptions without their consent, not only frustrating users but also costing them significant money,” FTC Chair Lina M. Khan said in a 2023 news release. “These manipulative tactics harm consumers and law-abiding businesses alike. The FTC will continue to vigorously protect Americans from ‘dark patterns’ and other unfair or deceptive practices in digital markets.”
In a trial brief filed on Sept. 15, the FTC targeted Amazon’s specific language used to encourage customers to sign up for Prime. The FTC mentioned a button on the Amazon website that reads, “Get FREE Same-Day Delivery,” prompting customers who are checking out. The FTC claims this language gives the impression that the deal only applies to the product the customer is buying. Instead, when customers click the button, they are enrolled for Prime, “even if the customer does not complete their product purchase.”
The FTC also alleges that rather than hiding details about a Prime subscription in fine print when this messaging is presented to customers, Amazon puts these details on an entirely different page, as outlined in the trial brief.
In addition to using “dark patterns” to get customers to subscribe to Amazon Prime, the FTC claims Amazon makes it difficult for subscribers to cancel their subscriptions.
Amazon Prime’s cancellation process takes customers through “multiple steps,” the FTC alleges, adding that the company uses confusing phrasing, effectively making customers unsure about whether they actually canceled their subscription.
Amazon continues to deny the FTC’s claims.
“The bottom line is that neither Amazon nor the individual defendants did anything wrong – we remain confident that the facts will show these executives acted properly and we always put customers first,” Amazon said in a statement obtained by USA TODAY.
For now, Amazon will continue operating as usual. If the court decides in favor of the FTC, Amazon may be required to change its language and process for signing up and canceling Amazon Prime subscriptions.
Greta Cross is a national trending reporter at USA TODAY. Story idea? Email her at gcross@usatoday.com.