Amazon Faces Legal Setback Over Prime Signup Practices
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A U.S. judge ruled that Amazon violated consumer protection laws by enrolling Prime members without clear disclosure of terms, marking an early victory for the Federal Trade Commission. The case centers on allegations that Amazon obscured cancellation processes and collected payment details prematurely.
The FTC's lawsuit gains momentum as the court rejects Amazon's argument that online shopper protections don't apply to Prime subscriptions. Two executives now face potential liability, signaling broader accountability for corporate signup practices.
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