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Market Chatter: Amazon.com Breached Online Shopper Protection Law, Judge Rules as Prime Signup Trial Looms
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Market Chatter: Amazon.com Breached Online Shopper Protection Law, Judge Rules as Prime Signup Trial Looms
Sep 18, 2025 5:20 AM

07:31 AM EDT, 09/18/2025 (MT Newswires) -- Amazon.com ( AMZN ) breached US consumer protection law by collecting billing information of Prime subscribers before outlining the service's terms to them, Reuters reported Thursday, citing a court ruling.

Two executives of the e-commerce giant were liable for any violations the US Federal Trade Commission proves at an upcoming trial, US District Judge John Chun reportedly announced in the ruling Wednesday.

The FTC is now expected to argue that Amazon ( AMZN ) signed up tens of millions of customers for Prime without their consent, and thwarted tens of millions of cancellation bids via difficult ways of cancellation, Reuters reported.

"Today's decision affirms that Amazon ( AMZN ) defrauded American consumers by failing to disclose all terms of prime before collecting consumer's payment information," the news agency reported, citing Chris Mufarrige, head of the FTC's bureau of consumer protection.

"The bottom line is that neither Amazon ( AMZN ) nor the individual defendants did anything wrong," Reuters reported, citing a company spokesperson. "We remain confident that the facts will show these executives acted properly and we always put customers first."

Amazon ( AMZN ) and the FTC didn't immediately respond to MT Newswires' requests for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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