Amazon tricked consumers into enrolling in automatically renewing Prime subscriptions, the FTC says. Read more at straitstimes.com.
WASHINGTON - The US Federal Trade Commission on Wednesday accused Amazon.com of enrolling millions of consumers into its paid subscription Amazon Prime service without their consent and making it hard for them to cancel, the agency’s latest action against the ecommerce giant in recent weeks.
The FTC said Amazon Prime is the world’s largest subscription programme, generating US$25 billion in revenue annually. It offers fast, free shipping on millions of items, various discounts and access to movies, music and television series, as well as other benefits. Amazon added it finds “it concerning that the FTC announced this lawsuit without notice to us, in the midst of our discussions with FTC staff members to ensure they understand the facts, context, and legal issues, and before we were able to have a dialog with the commissioners themselves.”
Consumers who attempted to cancel Prime were faced with multiple labyrinthine steps to accomplish the task of cancelling, according to the complaint. The FTC complaint said Amazon used the term “Iliad Flow” to describe the process it began in 2016, referencing Homer’s epic poem about the lengthy Trojan war.
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