The Arizona Daily Star reported Nov. 3 that a consent judgment in Arizona’s Prime cancellation case would require Amazon to commit $7 million. The reported package includes $3 million for customers who tried to cancel annual Prime memberships and encountered obstacles.
The newspaper also reported that Amazon would put $1.5 million into a state fund for consumer-fraud investigations and education, pay $1.5 million in Arizona legal fees and donate $1 million to food-related charities selected by Attorney General Kris Mayes. The report did not give a process or timetable for consumer payments. It said Amazon denies violating Arizona law and that the settlement limits how state attorneys may publicly characterize the company’s business conduct.
Arizona sued Amazon in 2024. The state’s complaint alleged that the online cancellation process required at least six clicks until it changed substantially around April 2023. It also alleged that cancellations fell 14% at one point in 2017; neither claim is a court finding.
The complaint cited estimates of $25 billion in annual Prime subscription fees worldwide, with about three-quarters attributed to U.S. subscribers, and average annual Amazon spending of roughly $1,400 per Prime member. The state used those figures to argue that Amazon had a financial incentive to retain members.
The Arizona case is separate from a 2025 settlement with the Federal Trade Commission (FTC). The agency announced that Amazon would pay a $1 billion civil penalty and provide $1.5 billion in consumer redress over federal allegations involving Prime enrollment and cancellations. The order also requires the company to let customers cancel through the route they used to sign up.
