Parents whose kids made unauthorized in-app purchases will get a refund from Amazon
In good news for parents whose children enjoy making in-app purchases without asking permission, Amazon will soon set up a program that could distribute up to $70 million in refunds.
On Tuesday, Amazon and the Federal Trade Commission agreed to end appeals related to a decision made last year in federal court that found Amazon liable for in-app purchases made by children. The court ruled that Amazon did not have enough safeguards in place to keep kids from making these pricey buys without authorization from an adult. Many apps have the option of purchasing — with real money — boosts that can make a game easier or more enjoyable to play. The new program will cover purchases made from November 2011 to May 2016.
"This case demonstrates what should be a bedrock principle for all companies — you must get customers' consent before you charge them," Thomas B. Pahl, acting director of the FTC's Bureau of Consumer Protection, said in a statement. "Consumers affected by Amazon's practices can now be compensated for charges they didn't expect or authorize." Amazon is expected to release details on the refund program soon.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Catherine Garcia has worked as a senior writer at The Week since 2014. Her writing and reporting have appeared in Entertainment Weekly, The New York Times, Wirecutter, NBC News and "The Book of Jezebel," among others. She's a graduate of the University of Redlands and the Columbia University Graduate School of Journalism.
-
4 tips for keeping your resolutions
The Week Recommends New Year's resolutions seem made to be broken, but with a few adjustments, you can give yourself a shot at sticking with it
By Theara Coleman, The Week US Published
-
'His disdain for international rules could eviscerate the laws of war'
Instant Opinion Opinion, comment and editorials of the day
By Justin Klawans, The Week US Published
-
Getty Images and Shutterstock merge into a picture powerhouse to combat AI
The Explainer The $3.7 billion deal is one of the largest in the industry's history
By Justin Klawans, The Week US Published
-
US port strike averted with tentative labor deal
Speed Read The strike could have shut down major ports from Texas to Maine
By Peter Weber, The Week US Published
-
Biden expected to block Japanese bid for US Steel
Speed Read The president is blocking the $14 billion acquisition of U.S. Steel by Japan's Nippon Steel, citing national security concerns
By Peter Weber, The Week US Published
-
Judges block $25B Kroger-Albertsons merger
Speed Read The proposed merger between the supermarket giants was stalled when judges overseeing two separate cases blocked the deal
By Peter Weber, The Week US Published
-
Rupert Murdoch loses 'Succession' court battle
Speed Read Murdoch wanted to give full control of his empire to son Lachlan, ensuring Fox News' right-wing editorial slant
By Peter Weber, The Week US Published
-
Bitcoin surges above $100k in post-election rally
Speed Read Investors are betting that the incoming Trump administration will embrace crypto
By Peter Weber, The Week US Published
-
Enron mystery: 'sick joke' or serious revival?
Speed Read 23 years after its bankruptcy filing, the Texas energy firm has announced its resurrection
By Peter Weber, The Week US Published
-
US charges Indian tycoon with bribery, fraud
Speed Read Indian billionaire Gautam Adani has been indicted by US prosecutors for his role in a $265 million scheme to secure solar energy deals
By Peter Weber, The Week US Published
-
Boeing machinists approve contract, end strike
Speed Read The company's largest union approved the new contract offer, ending a seven-week strike
By Peter Weber, The Week US Published