SEATTLE — Amazon will go to trial Monday in a landmark case brought by the U.S. Federal Trade Commission (FTC), which accuses the e-commerce giant of using deceptive tactics to enroll millions of unsuspecting customers into its Prime subscription service and making it notoriously difficult to cancel.
The FTC’s lawsuit, filed in June 2023, alleges that Amazon knowingly deployed so-called “dark patterns” — manipulative website design techniques — to nudge shoppers into signing up for Prime during checkout.
The membership, which costs $139 per year, has become central to Amazon’s business model, with subscribers spending far more on the platform than non-members.
At the heart of the case are two charges: that Amazon enrolled customers without their clear consent and that it built a deliberately frustrating cancellation system internally nicknamed “Iliad,” a nod to Homer’s epic poem about the long and grueling Trojan War.
Court filings allege that Amazon executives were fully aware of widespread “nonconsensual enrollment” in Prime but resisted fixes that would reduce unwanted sign-ups because they threatened the company’s revenues.
According to the FTC, declining Prime required clicking small, inconspicuous links, while signing up was made easy through large, brightly highlighted buttons.
Crucial details about Prime’s pricing and automatic renewal were allegedly hidden in fine print, and canceling the membership was even harder: a four-page, six-click, 15-option process that regulators described as “labyrinthine.”
“For years, Amazon has knowingly duped millions of consumers into unknowingly enrolling in its Amazon Prime service,” the FTC complaint states.
The trial will be heard in Seattle by U.S. District Judge John Chun, who is also overseeing a separate FTC case accusing Amazon of running an illegal monopoly, scheduled for 2027.
The Prime lawsuit will rely heavily on internal Amazon documents, executive testimony, and expert witnesses, and is expected to last about four weeks.
If the FTC prevails, Amazon could face hefty fines and be forced to overhaul its subscription practices under court supervision.
The agency is also seeking permanent injunctions to ensure compliance with consumer protection laws.
The case partly hinges on the Restore Online Shoppers’ Confidence Act (ROSCA), a 2010 law that requires companies to obtain clear consent before charging for online services and to provide simple cancellation mechanisms.
Regulators say Amazon violated the statute by hiding key terms and failing to secure genuine informed consent.
Amazon has pushed back, arguing that the FTC is stretching the scope of the law and that many of the allegations are outdated.
The company insists it has since streamlined both enrollment and cancellation.
The lawsuit is part of a broader bipartisan push in Washington to rein in the influence of Big Tech after years of regulatory laxity.
Alongside Amazon, companies such as Google, Meta, and Apple are facing mounting scrutiny over competition and consumer rights.
