Amazon has agreed to pay $ 2 million in fines and refunds after it settled a lawsuit with San Diego County and five other California countries over potentially misleading price lists on its website. This was announced on Thursday.
The complaint filed with the San Diego Supreme Court last week alleged that the e-commerce giant’s use of “reference prices” in some of its online advertisements was either misleading or potentially misleading. The complaint pointed to the use of “what” or “what”. List prices on the website that advertise savings to consumers that routinely have lines through them.
A “what” price is the price at which Amazon previously offered the product. List price displays tell consumers the price at which the product is typically offered or sold by another seller, supplier, or manufacturer of the product.
Prosecutors said, “There were issues with how Amazon determined these reference prices and whether words like” what “or” list “were used in any way
that was misleading for consumers. ”
The San Diego district attorney joined the district attorney’s complaint in Riverside, Alameda, Santa Clara, Santa Cruz, and Yolo counties.
In addition to the fines, Wednesday’s ruling requires Amazon to make changes to its pricing, including providing hyperlinks on its website that give consumers “clear definitions of what” what “and” list “advertising means to understand the type of savings advertised. ”
The DA bureau’s statement said Amazon had “worked quickly and cooperatively during the district attorney’s investigation and already made changes to its website and pricing algorithms that are consistent with the final verdict.”
San Diego District Attorney Summer Stephan said that when consumers shop online, “they need to be confident that a product advertised as a bargain is really a bargain. This ruling should remind retailers that the law of demands that they give precise details. ” Information so consumers can make informed purchasing decisions. “
“Our consumer protection department continues to hold businesses accountable and has worked successfully with our law enforcement partners across the state of California,” she added.