TBA Law Blog


Posted by: Stacey Shrader Joslin on Sep 25, 2025

Amazon.com will pay $2.5 billion in fines and reimbursements to Prime subscribers to settle allegations from the Federal Trade Commission (FTC) that it deceived its customers into signing up for a Prime subscription. According to Reuters, the settlement will include a $1.5 billion fund for subscriber reimbursements, a $1 billion fine to the FTC and clearer subscription terms and cancellation options. Customers who signed up for Prime between June 23, 2019, and June 23, 2025, through certain offers — and who used few Prime benefits —automatically will receive $51. The settlement also allows customers to submit claims for payment if they tried to cancel Prime and failed during that time. The company estimates that 35 million customers will be eligible for the payout. The settlement is the second-largest restitution amount ever for an FTC action, agency officials said.