FTC Distributes $72M To Fortnite Customers Tricked Into Making Unwanted Purchases
FTC Distributes $72M to Fortnite Customers Tricked into Making Unwanted Purchases
The Federal Trade Commission (FTC) has announced that it will be distributing $72 million to Fortnite customers who were tricked into making unwanted purchases through the game's in-app payment system. The settlement stems from a complaint filed by the FTC in 2020, which alleged that Epic Games, the developer of Fortnite, used deceptive tactics to lure players into making these purchases.
Deceptive Tactics
According to the complaint, Epic Games used several deceptive tactics to encourage players to make unwanted purchases, including:
- Hiding the cancel button for in-app purchases, making it difficult for players to cancel a purchase before it was completed.
- Using confusing language that made it difficult for players to understand what they were purchasing.
- Targeting children and young adults with in-game advertising that was designed to appeal to their emotions and encourage them to make impulsive purchases.
As a result of these deceptive tactics, many players were tricked into making purchases that they did not want or intend to make. In some cases, players were charged for items that they did not even receive. The FTC estimates that Epic Games made millions of dollars from these deceptive practices.
Settlement
The FTC's settlement with Epic Games requires the company to pay $72 million in refunds to affected players. The settlement also prohibits Epic Games from using deceptive tactics to encourage in-app purchases. This includes:
- Making it clear and easy for players to cancel in-app purchases.
- Using clear and concise language that explains what players are purchasing.
- Not targeting children and young adults with in-game advertising that is designed to appeal to their emotions and encourage them to make impulsive purchases.
The FTC's settlement is a significant victory for consumers. It sends a message to companies that they cannot use deceptive tactics to trick consumers into making unwanted purchases.
Perspectives
There are a variety of perspectives on the FTC's settlement with Epic Games. Some people believe that the settlement is too lenient, while others believe that it is a fair and just outcome. Those who believe that the settlement is too lenient argue that Epic Games should have been fined more money for its deceptive practices. They also argue that the settlement does not do enough to protect consumers from future deceptive practices.
Those who believe that the settlement is fair and just argue that the FTC took into account all of the relevant factors in reaching its decision. They also argue that the settlement is a good precedent for future cases involving deceptive in-app purchases.
Conclusion
The FTC's settlement with Epic Games is a significant victory for consumers. It sends a message to companies that they cannot use deceptive tactics to trick consumers into making unwanted purchases. The settlement also provides a valuable lesson for consumers about the importance of being careful when making in-app purchases.