Amazon Found Liable for Charges Incurred by Kids Using Apps The FTC had sued Amazon in 2014, alleging that the company failed to make proper disclosures to parents regarding purchases made by their children.

By Reuters

This story originally appeared on Reuters

Mint | Getty Images

Amazon.com is liable for billing parents for in-app purchases that their children made without permission, a federal judge has ruled.

Judge John Coughenour of the U.S. District Court for the Western District of Washington on Tuesday granted the Federal Trade Commission's motion for summary judgment on liability in a fight between Amazon and the agency over the unauthorized purchases.

The judge denied the FTC's request for an injunction, and said he would not decide on a remedy yet.

The FTC said it would press for full refunds for affected Amazon customers.

Amazon did not immediately respond to requests for comment.

The FTC had sued Amazon in 2014, alleging that the company failed to make proper disclosures to parents regarding purchases made by their children while using apps such as "Pet Shop Story."

Amazon has made changes in how in-app purchases are made since the FTC began probing the issue, the court said.

"The only potential ongoing violation of the FTC Act alleged is the fact that Amazon customers are still billed for in-app purchases under $1 without authorization on First Generation Kindle devices. The First Generation Kindle has not been sold since August 2012," Coughenour said in his ruling.

(Reporting by Diane Bartz; Editing by Meredith Mazzilli and David Gregorio)

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Side Hustle

This 24-Year-Old's Creative Side Hustle Surpassed $1 Million in Sales: 'Definitely Doing Something Right'

Content creator and actor Alyssa McKay saw the perfect opportunity to innovate.

Business News

'Don't Believe Everything You Read': Jeff Bezos Slams $600M Wedding Rumors

Amazon founder Jeff Bezos denied the rumors himself on X.

Leadership

6 Ways to Build a Legacy of Leaders Within Your Workforce

Cultivating leaders within your organization is essential for sustainable growth, strong company culture and personal fulfillment. Here are six actionable strategies to empower future leaders

Business News

'Coffee Is Life': NBA All-Star Jimmy Butler Gives Miami a Serious Wake Up Call

The Miami Heat superstar opened his first Big Face Coffee shop in Miami's Design District.

Business Solutions

Will This New AI Replace ChatGPT?

It's easier to use, has more features, and it's less expensive.

Side Hustle

After This 26-Year-Old Got Hooked on ChatGPT, He Built a 'Simple' Side Hustle Around the Bot That Brings In $4,000 a Month

Dhanvin Siriam wanted to build something that made revenue from ChatGPT, and once he did, he says, "It just caught on."