Amazon has agreed to pay a historic $2.5 billion settlement to the Federal Trade Commission (FTC), resolving allegations that the e-commerce giant deceptively enrolled customers into Prime memberships and made cancellations overly burdensome.

The settlement, announced on September 25 includes $1 billion in civil penalties — the largest fine in FTC history — and $1.5 billion in restitution to consumers who were either misled into signing up or faced hurdles when trying to cancel. Customers eligible for refunds include those who joined Prime via the company’s “Single Page Checkout” between June 23, 2019, and June 23, 2025. Advertisement

The FTC first sued Amazon in 2023, accusing it of violating the Restore Online Shoppers’ Confidence Act, a law designed to protect consumers from mislead

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