FTC takes Amazon to court for alleged prime enrollment ‘Dark Patterns’

September 22, 2025 (MLN): A high-profile trial began Monday in Seattle as the U.S. government pursues a lawsuit accusing Amazon of tricking millions of consumers into signing up for its Prime subscription service and making cancellation intentionally difficult.

The Federal Trade Commission (FTC) filed the complaint in June 2023, alleging that the e-commerce giant relied on manipulative “dark patterns” to secure sign-ups for the $139-per-year service.

The case centers on claims that Amazon enrolled customers without clear consent through confusing checkout processes and created a deliberately complex cancellation system, internally nicknamed “Iliad.”

According to court documents, Amazon was aware of widespread “nonconsensual enrollment” but resisted changes that would have reduced sign-ups because of potential revenue loss.

The FTC argues that customers were steered toward Prime with prominent sign-up buttons, while the option to decline was buried in inconspicuous links. Pricing and automatic renewal terms were often hidden in fine print.

The lawsuit also challenges Amazon’s cancellation process, which required navigating a four-page, six-click, fifteen-option pathway.

The FTC seeks penalties, monetary relief, and injunctions to force changes to the company’s practices, citing violations of the 2010 Restore Online Shoppers’ Confidence Act (ROSCA).

The trial, expected to last about four weeks, will rely heavily on internal communications, executive testimony and expert witnesses.

Judge John Chun is presiding over the case, which runs alongside a separate FTC lawsuit accusing Amazon of operating an illegal monopoly, scheduled for trial in 2027.

Amazon has argued that its enrollment and cancellation systems have been improved and that the allegations are outdated, while also contending that the FTC is overreaching in its interpretation of ROSCA.

If the FTC succeeds, the company could face significant financial penalties and be required to overhaul its subscription practices under court supervision.

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