Amazon has agreed to a historic $2.5 billion settlement with the Federal Trade Commission (FTC) due to claims of tricking customers into Prime subscriptions and hindering cancellation. The settlement includes a record $1 billion civil penalty and $1.5 billion in refunds for affected Prime customers who were either unintentionally enrolled or faced difficulties in canceling. The FTC alleged that Amazon violated the Restore Online Shoppers’ Confidence Act, making it difficult for consumers to understand and manage their subscriptions, a process internally referred to as “Iliad”. The FTC began its investigation in 2021, eventually leading to the lawsuit and settlement, which occurred before a separate antitrust case was filed against the company.
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In a 6-3 decision, the Supreme Court has allowed President Trump to fire Federal Trade Commission member Rebecca Slaughter, sparking a dissent from Justice Elena Kagan who accused the court of overriding Congress to grant the president sweeping new powers over independent agencies. This decision signals the conservative majority’s potential willingness to overturn a 1935 precedent limiting presidential removals, specifically Humphrey’s Executor. The court’s actions have repeatedly cleared firings that Congress explicitly prohibited, thus shifting control of key regulatory agencies to the president. Arguments over the matter are expected in December, where the court will determine whether Trump can fire board members for any reason as he seeks to implement his agenda.
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FTC Accuses Live Nation, Ticketmaster of Colluding with Ticket Brokers. This is a headline that’s buzzing, and honestly, it’s got a lot of people feeling a mix of emotions, from frustration to a strange sense of “told you so.” It seems the Federal Trade Commission is taking aim at the behemoths of the live entertainment industry, and the accusation is a serious one: collusion with ticket brokers.
Now, what does this actually mean? Well, it suggests that Live Nation and Ticketmaster, the dominant forces in the ticketing game, may have been working behind the scenes with ticket brokers, essentially scalpers, to manipulate the market.… Continue reading
The Supreme Court has temporarily allowed President Trump to fire a Federal Trade Commission member, Rebecca Kelly Slaughter, despite a law meant to restrict the White House’s control over the agency. The court blocked a lower court’s ruling that reinstated Slaughter while the case continues, signaling the likelihood of granting the president broader firing authority. This action directly challenges a 1935 Supreme Court precedent limiting the president’s ability to remove FTC commissioners without cause, a restriction meant to protect the agency from political pressure. The Trump administration argues such restrictions unlawfully limit presidential power as defined by the Constitution.
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The D.C. Circuit Court of Appeals has ruled to reinstate Federal Trade Commission member Rebecca Kelly Slaughter, appointed by President Biden, after a prior attempt by former President Trump to remove her. The court determined Slaughter could only be removed under specific conditions: inefficiency, neglect of duty, or malfeasance in office, which were not cited in the original dismissal attempt. This case is part of a larger trend of lawsuits challenging Trump’s efforts to remove Democrat-appointed leaders from federal agencies. The ruling underscores historical efforts by Congress to protect these agencies from political interference.
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The Federal Trade Commission (FTC) is suing Fitness International, the operator of LA Fitness and related brands, alleging that the company intentionally makes it challenging for consumers to cancel gym memberships. The FTC claims that the company’s cumbersome cancellation methods, including in-person or mail-in options with numerous hurdles, resulted in hundreds of millions of dollars in unwanted recurring fees for customers. Despite Fitness International’s recent introduction of online cancellations, the FTC asserts that the process remains overly complex and that the company fails to adequately disclose cancellation terms. The FTC is seeking a court order to halt the alleged practices and obtain refunds for affected consumers.
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The implementation of the “click-to-cancel” rule, designed to simplify subscription cancellations, has been halted by a federal appeals court just days before its effective date. The Federal Trade Commission’s (FTC) rule, which would require businesses to obtain consent for recurring charges and allow for easy cancellation, was blocked due to a procedural error related to a preliminary regulatory analysis. Despite the FTC’s intentions to protect consumers and the Biden administration’s support, the court vacated the rule, citing deficiencies in the rulemaking process. Meanwhile, the FTC is proceeding with its case against Amazon’s Prime program regarding alleged enrollment and cancellation issues.
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Mark Zuckerberg attempted to settle the FTC’s antitrust lawsuit against Meta, initially offering $450 million then increasing to $1 billion, significantly less than the FTC’s demand of $30 billion. He reportedly sought President Trump’s intervention, leveraging their prior interactions and financial contributions. However, the FTC rejected the offers, leading to a trial where Zuckerberg testified. The lawsuit alleges Meta’s acquisitions of Instagram and WhatsApp constituted anti-competitive behavior.
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Trump’s firing of both Democratic commissioners at the Federal Trade Commission (FTC) has sparked a firestorm of controversy. The sheer audacity of the action, coupled with the apparent lack of legal basis, has left many questioning the state of American democracy. The timing, so close to potential legal battles against major corporations like Meta and Amazon, further fuels suspicions of politically motivated interference.
The immediate reaction across the political spectrum has been one of outrage and disbelief. Many have pointed out the perceived hypocrisy, noting previous difficulties faced by the Biden administration in similar situations. This disparity highlights a disturbing trend of seemingly arbitrary power imbalances, leading some to label the act as a blatant violation of law and democratic norms.… Continue reading
The proposed $25 billion merger between Albertsons and Kroger, aiming to combine the fifth and tenth largest US grocery retailers, has been terminated. A federal judge blocked the deal, citing concerns that the merger would eliminate competition and potentially raise prices for consumers. Albertsons subsequently sued Kroger for breach of contract, while Kroger countered with accusations of Albertsons’ own breaches. The FTC’s opposition, along with concerns from unions and politicians, ultimately contributed to the deal’s collapse, a win for FTC Chair Lina Khan.
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John Q. Hosedrinker 
Matt Underwood