Winnipeg Free Press - PRINT EDITION

Amazon faces lawsuit over in-app purchases made by children

  • Print

The U.S. Federal Trade Commission has filed a lawsuit against Amazon, alleging the online retailing giant billed parents for unauthorized in-app purchases made by children totalling millions of dollars.

In a statement released Thursday, the FTC claims Amazon allowed kids to make purchases within apps downloaded via mobile devices, such as the Kindle Fire tablets, without parental consent.

The purchases would then be charged to the account holder without permission.

The FTC also said when Amazon started allowing in-app purchases in 2011, they did not implement measures such as password requirements to prevent kids from unknowingly racking up purchases on their parents' accounts.

"Even Amazon's own employees recognized the serious problem its process created," said FTC chairwoman Edith Ramirez in a statement. "We are seeking refunds for affected parents and a court order to ensure that Amazon gets parents' consent for in-app purchases."

In a letter sent to the FTC earlier this month, Amazon said it employed "effective" parental controls and provided users with real-time notices each time an in-app purchase was made.

"We have continuously improved our experience since launch, but even at launch, when customers told us their kids had made purchases they didn't want, we refunded those purchases," wrote Andrew DeVore, Amazon's associate general counsel.

The letter was submitted after the FTC informed Amazon it would move forward with the lawsuit unless Amazon made changes to its app-store model similar to Apple.

In January, the FTC settled with Apple over in-app purchases, requiring the company to employ stricter policies for obtaining consent, such as password requests. The settlement was worth $32.5 million.

 

-- USA Today

 

Republished from the Winnipeg Free Press print edition July 11, 2014 B9

Fact Check

Fact Check

Have you found an error, or know of something we’ve missed in one of our stories?
Please use the form below and let us know.

* Required
  • Please post the headline of the story or the title of the video with the error.

  • Please post exactly what was wrong with the story.

  • Please indicate your source for the correct information.

  • Yes

    No

  • This will only be used to contact you if we have a question about your submission, it will not be used to identify you or be published.

  • Cancel

Having problems with the form?

Contact Us Directly
  • Print

You can comment on most stories on winnipegfreepress.com. You can also agree or disagree with other comments. All you need to do is be a Winnipeg Free Press print or e-edition subscriber to join the conversation and give your feedback.

You can comment on most stories on winnipegfreepress.com. You can also agree or disagree with other comments. All you need to do is be a Winnipeg Free Press print or e-edition subscriber to join the conversation and give your feedback.

Have Your Say

New to commenting? Check out our Frequently Asked Questions.

Have Your Say

Comments are open to Winnipeg Free Press print or e-edition subscribers only. why?

Have Your Say

Comments are open to Winnipeg Free Press Subscribers only. why?

The Winnipeg Free Press does not necessarily endorse any of the views posted. By submitting your comment, you agree to our Terms and Conditions. These terms were revised effective April 16, 2010.

letters

Make text: Larger | Smaller

LATEST VIDEO

Jets This Week: Quarter Season Analysis

View more like this

Photo Store Gallery

  • KEN GIGLIOTTI  WINNIPEG FREE PRESS / July 23 2009 - 090723 - Bart Kives story - Harry Lazarenko Annual River Bank Tour - receding water from summer rains and erosion  damage by flood  and ice  during spring flooding -  Red River , Lyndale Dr. damage to tree roots , river bank damage  , high water marks after 2009 Flood - POY
  • Bright sunflowers lift their heads toward the south east skies in a  large sunflower field on Hwy 206 and #1 Thursday Standup photo. July 31,  2012 (Ruth Bonneville/Winnipeg Free Press)

View More Gallery Photos

Poll

Are you concerned about the death of a seal at the Assiniboine Park Zoo?

View Results

View Related Story

Ads by Google