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Amazon Prime has become an integral part of our daily routines, offering two-day shipping, streaming services, and exclusive deals. While its convenience is well-known, the Federal Trade Commission (FTC) has brought to light deceptive tactics used by Amazon in sign-up processes.
Amazon Prime Faces FTC Scrutiny Over Sneaky Sign-Ups and Hard-to-Cancel Subscriptions
The FTC argues that Amazon has employed manipulative strategies to sign people up for the membership without their explicit consent. The process of canceling a subscription, especially with Prime, is often complicated, with prompts designed to make users reconsider their plans, leaving them stuck with the service. In September 2025, a federal judge ruled that Amazon violated the Restore Online Shoppers’ Confidence Act (ROSCA) by collecting billing information from Prime subscribers before fully disclosing service terms.
The case was filed against Amazon in 2023 and accused the company of using deceptive design strategies, known as dark patterns, to enroll consumers without a clear exit plan. Two top executives may be held accountable if the FTC proves its case. However, Amazon denies these claims and asserts that its sign-up and cancellation process is lawful and straightforward.
If the FTC wins the case, it could significantly redefine how Prime operates and how people sign up or cancel subscriptions. The terms would no longer remain hidden, potentially redefining the broader subscription economy where trust and transparency are valued alongside revenue. This development serves as a partial win for the FTC, as the judge agreed that users were misled due to the complexity of canceling their subscriptions.
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As Amazon’s lawyers prepare for the case, consumers should be more vigilant about digital services they rely on heavily. These steps help build trust and give users more confidence in what they are signing up for.
