What was marketed as a prime perk is now a prime problem for Amazon, as the company faces a federal trial over its subscription tactics. The U.S. government is accusing the retail behemoth of using a combination of deceptive sign-up methods and a frustrating cancellation process to illegally boost its Prime membership numbers.
The trial, which is now underway in Seattle, will examine the Federal Trade Commission’s allegations that Amazon knowingly used “dark patterns.” These design choices in the checkout process allegedly tricked users into subscribing to the $139-a-year service by making it difficult to complete a purchase without doing so.
A significant focus of the case is the “Iliad” cancellation system. The FTC argues that this was an intentionally complex maze of clicks and pages designed to make users give up on unsubscribing. The government is using the internal codename as evidence that Amazon was fully aware of the system’s difficulty.
This trial is a high-profile test of the FTC’s renewed vigor in policing the tech industry. A victory for the agency could have far-reaching implications, setting new legal precedents for how online companies must handle user consent and subscription management. The agency is seeking substantial fines and injunctive relief.
Amazon is fighting the lawsuit, arguing that its processes have always been transparent and that the FTC’s claims are exaggerated. The company’s defense will likely stress that it has already updated the interfaces in question, making the trial an exercise in addressing problems that have already been solved.