India, Sept. 25 -- Amazon has agreed to a groundbreaking $2.5 billion settlement with the Federal Trade Commission (FTC) over allegations that it misled customers into joining Prime memberships and obstructed cancellations. Announced on Thursday, the deal includes a record-breaking $1 billion civil penalty and $1.5 billion in consumer refunds, with eligible Prime customers set to receive up to $51 each.

The settlement, reached just days into a trial in the US District Court in Seattle, addresses violations of the 2010 Restore Online Shoppers' Confidence Act.

Eligible customers include those who inadvertently enrolled in Prime via Amazon's "Single Page Checkout" or similar links between June 23, 2019, and June 23, 2025. The FTC estimates...