Amazon proposes settlement in class action over return policies

Amazon.com has proposed a settlement to resolve a class action lawsuit that alleged the e-commerce giant's return policies and practices violated Washington state consumer protection and other laws. The lawsuit, In re: Amazon Return Policy Litigation, was filed in the U.S. District Court for the Western District of Washington.

Plaintiffs alleged that certain customers did not receive refunds or received untimely or incorrect refunds, and some were later charged for returned items. Amazon denies the allegations and any wrongdoing but agreed to the settlement to avoid the burden and expense of litigation. The court has not made any determination of wrongdoing or liability.

Under the proposed settlement, Amazon will pay $309.5 million into a common fund. Additionally, Amazon has identified and will make efforts to complete previously unpaid refunds, including those where returns could not be confirmed. The company will also provide other non-monetary relief, details of which are available on the settlement website, www.ReturnSettlement.com.

Class members may receive payments automatically or by submitting a claim form, depending on their subclass. Deadlines for payment method selection or claim submission are 105 days after final court approval or December 1, 2026. A final approval hearing is scheduled for March 2027.