NORFOLK, Va. — Amazon has reached a settlement with the Federal Trade Commission over allegations that the company knowingly misled customers into enrolling in Prime memberships and made it exceedingly difficult to cancel.

According to the FTC , “Amazon will be required to pay a $1 billion civil penalty, provide $1.5 billion in refunds back to consumers harmed by their deceptive Prime enrollment practices, and cease unlawful enrollment and cancellation practices for Prime.”

The settlement addresses customers who signed up through what the court documents call a Challenged Enrollment Flow between June 2019 and June 2025.

Amazon defines a Challenged Enrollment Flow as “any version of the Universal Prime Decision Page, the Shipping Option Select Page, Prime Video enrollment flow, or the S

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