Epic Games tricks consumers into unwanted purchases, FTC pays $72 million
- The Federal Trade Commission has concluded that Epic Games misled players into making unintended purchases through deceptive design tactics known as dark patterns.
- Refunds totaling over $72 million are being distributed to 629,344 consumers affected by these unlawful billing practices.
- The settlement also requires Epic Games to improve its purchasing processes and secure user consent for digital transactions.
In the United States, the Federal Trade Commission has begun distributing a substantial sum in refunds, addressing claims against Epic Games, the developer of the widely popular video game Fortnite. This initiative stems from a settlement reached in March 2023, which mandated Epic Games to pay a total of $245 million after the agency concluded that the game employed deceptive design techniques. These tactics, identified as 'dark patterns', included confusing navigation that led consumers, particularly children, to make unintended purchases through a single button press. The FTC's investigations revealed that this arrangement allowed kids to accumulate unauthorized charges without any parental consent, and users who contested these charges were sometimes locked out of their accounts. The FTC reported that the initial round of refunds, amounting to over $72 million, has started to be disbursed to affected consumers. Notably, approximately 629,344 payments have been made, with half of these distributed via PayPal and the remaining half through physical checks. The average refund for individuals impacted by these billing practices is estimated to be around $114. Individuals who have been affected are still able to file claims until January 10, 2025, allowing them a chance to recover losses incurred due to these unwanted charges. Claims must be submitted by individuals aged 18 and older, although minors can have a parent or guardian assist in the filing process. Furthermore, the FTC has made it clear that those filing claims will not face any adverse effects concerning their Fortnite accounts, as the refund process is completely separate from account standing. The settlement aims to ensure that Epic Games reforms its purchasing practices by mandating the cessation of such deceptive designs and requiring affirmative consent before any digital purchases are executed. The ongoing scrutiny of Epic Games serves as a broader reminder of the Federal Trade Commission's commitment to protecting consumers from manipulative practices in digital spaces. By addressing these concerns, the FTC aims to foster a safer environment for gamers, especially minors, who are often the most vulnerable to these misleading billing tactics. As the settlement progresses, the FTC's actions are anticipated to pave the way for a reevaluation of digital purchasing strategies among various gaming corporations.