// The Federal Trade Commission has sued Amazon over ‘duping’ its Prime membership users
// The retail giant was accused of tricking shoppers into signing up for automatically renewing subscriptions to the service
Amazon has been sued by the Federal Trade Commission, as it accused the retailer of tricking millions of shoppers into enrolling into Prime memberships.
However, the ecommerce giant has denied the claims, describing them as “false on the facts and the law”.
The US competition watchdog claimed Amazon had “knowingly duped” its shoppers into signing up for automatically renewing subscriptions, and was accused of making them hard to cancel.
Federal Trade Commission chairwoman Lina Khan said: “Amazon tricked and trapped people into recurring subscriptions without their consent. These manipulative tactics harm consumers and law-abiding businesses alike.”
According to the watchdog, shoppers purchasing goods on Amazon were shown “numerous opportunities” to join Prime.
It also alleged that “in many cases” it was harder to find the option to purchase products without signing up for the service.
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The Federal Trade Commission said Amazon’s cancellation process was “designed to deter consumers from successfully unsubscribing”.
Although the retailer changed its cancellation process prior to the lawsuit being filed, the watchdog said it had broken laws designed to protect customers.
A spokesperson for Amazon said the lawsuit had been announced without informing them first.
In response to the accusations, Amazon said: “The truth is, customers love Prime, and by design we make it clear and simple to both sign up for or cancel a Prime membership.”
The news comes as Amazon staff in Coventry recently voted for another six months of strikes over pay, with 99% of workers voting to extend industrial action.
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