Business

FTC Seeks Postponement in High-Stakes Amazon Prime Membership Trial Amid Resource Challenges

FTC Requests Delay in Amazon Prime Case Due to Resource Constraints

In a recent development, the Federal Trade Commission (FTC) has requested a delay in its trial against Amazon.com Inc, citing significant resource constraints. The trial, which was initially set for September 22 by United States District Judge John Chun, involves serious allegations against Amazon. The FTC accuses the e-commerce giant of misleading its customers into enrolling in its Prime membership without their consent and complicating the cancellation process for these subscriptions.

During a status hearing, FTC's attorney, Jonathan Cohen, appealed to Judge Chun for a two-month postponement. Cohen highlighted staffing and budgetary limitations as the primary reasons for this request. This move by the FTC comes in the wake of a broader initiative by the US Department of Government Efficiency (DOGE), spearheaded by billionaire Elon Musk. The initiative aims to streamline government spending, which has led to the reduction of thousands of federal government jobs.