All news with #ftc tag

Amazon to Pay $2.5 Billion Over Prime Enrollment Practices

⚖️ The FTC announced a $2.5 billion settlement with Amazon over allegations it used dark patterns to trick millions into enrolling in and retaining Prime subscriptions. The agreement includes a $1 billion civil penalty and $1.5 billion in refunds for an estimated 35 million affected consumers. The FTC said Amazon's checkout and cancellation designs obscured opt-outs, failed to disclose automatic renewals, and relied on an internal cancellation flow nicknamed "Iliad" that deterred cancellations. Internal documents, the agency added, showed employees discussing the problematic practices.

Disney to Pay $10M Over YouTube Kids' Data Violations

⚖️ The FTC secured a $10 million settlement with Disney after finding the company mislabeled children’s content on YouTube, enabling collection of kids' personal data without parental notice or consent. The complaint says Disney applied channel-level tags that caused many videos to be marked as 'Not Made for Kids' instead of Made for Kids, circumventing COPPA protections. The settlement imposes a civil penalty, requires parental notice prior to data collection, and mandates a new program to ensure correct MFK labeling on future uploads.