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The Federal Trade Commission is taking action against Amazon.com, Inc. for its years-long effort to enroll consumers into its Prime program without their consent while knowingly making it difficult for consumers to cancel their subscriptions to Prime.
In a complaint filed today, the FTC charges that Amazon has knowingly duped millions of consumers into unknowingly enrolling in Amazon Prime. Specifically, Amazon used manipulative, coercive, or deceptive user-interface designs known as “dark patterns” to trick consumers into enrolling in automatically-renewing Prime subscriptions.
Amazon also knowingly complicated the cancellation process for Prime subscribers who sought to end their membership. The primary purpose of its Prime cancellation process was not to enable subscribers to cancel, but to stop them. Amazon leadership slowed or rejected changes that would’ve made it easier for users to cancel Prime because those changes adversely affected Amazon’s bottom line.
Payment processing company Humboldt Merchant Services will pay $12 million and be permanently banned from processing payments for merchants with a heightened risk of potential fraud to settle allegations that Humboldt processed payments for merchants that defrauded consumers.
According to the FTC’s complaint, Humboldt processed payments for more than 1,000 merchants that were shell entities that served as fronts or pass-throughs for fraudulent companies engaged in unauthorized billing scams, including Legion Media, which the FTC shut down in 2024.
Nuvei will pay $4.85 million to settle FTC charges that the firm opened and maintained payment processing accounts for merchants that it knew or should have known were engaged in deception, including tech support scams that took millions of dollars from consumers.
The FTC, joined by Utah and California, by and through Los Angeles County Counsel, today sued Hims & Hers alleging that the telehealth provider shared consumers’ sensitive health information about medical conditions with third-party advertising platforms despite claiming its services maintain consumers’ privacy and deceives users about its billing and cancellation practices.
The FTC will require Cox Media Group, MindSift, and 1010 Digital Works to pay a total of $930,000 to settle allegations they deceived customers by falsely claiming to offer an AI-powered service that could target localized ads based on conversations captured from consumers’ smart devices and that consumers had opted into such targeting.
The FTC will require Cox Media Group, MindSift, and 1010 Digital Works to pay a total of $930,000 to settle allegations they deceived customers by falsely claiming to offer an AI-powered service that could target localized ads based on conversations captured from consumers’ smart devices and that consumers had opted into such targeting.
The FTC will require Cox Media Group, MindSift, and 1010 Digital Works to pay a total of $930,000 to settle allegations they deceived customers by falsely claiming to offer an AI-powered service that could target localized ads based on conversations captured from consumers’ smart devices and that consumers had opted into such targeting
The companies that operate the Hopper travel apps have agreed to pay $35 million and will be prohibited from deceiving consumers about fees to settle the Federal Trade Commission’s allegations that they unfairly charged consumers hidden fees and misrepresented the total prices consumers would pay and the benefits of the companies’ VIP Support and Price Freeze services.
The FTC’s complaint alleges that despite its “no hidden fees” promises, Canadian company Hopper Inc. and its Massachusetts-based subsidiary Hopper (USA) Inc., unfairly charged users without their consent for “Tip” and VIP Support fees that the company claimed were optional yet were hidden and pre-selected for consumers.
The Federal Trade Commission and the State of Connecticut are taking action against auto dealer Manchester City Nissan (MCN), along with its owner and a number of key employees, for systematically deceiving consumers about the price of certified used cars, add-ons, and government fees.
The complaint alleges that the dealership, in addition to deceiving consumers, regularly charges them junk fees for certification, add-on products, and government charges without the consumers’ consent, sometimes costing them thousands of dollars in unwanted and unauthorized charges.
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