Amazon is facing a new lawsuit over something a lot of us probably never think about when we click "buy" on Prime Video. A new proposed class action lawsuit filed Friday in Washington federal court accuses the company of running a "bait and switch" operation, allegedly misleading consumers into believing they've purchased movies and TV shows when they've only acquired a license to watch them. It can be revoked at any time.We've run into this story with Apple before. When you purchase a movie from a service like Apple or Prime Video, buyers receive a license to view the movie, but do not own the film outright or get a physical/downloadable copy without restrictions. The purchase allows streaming or downloading for personal use as long as the movie remains available in the platform ecosystem and the user's account is active.Apple was similarly sued.The new lawsuit argues that Amazon's prominent "buy" buttons throughout the purchasing process create the illusion of ownership, while the actual licensing terms are buried in tiny font at the bottom of confirmation pages.This isn't Amazon's first rodeo with this issue. The company faced similar allegations in a 2020 lawsuit, where they maintained that their use of "buy" isn't deceptive because consumers understand purchases are subject to licenses. What makes this new lawsuit potentially more important is its timing. Earlier this year, California enacted Assembly Bill 2426 (AB 2426), which prohibits companies from advertising transactions as "purchases" or using terms like "buy" in connection with digital goods unless...
Published By: NoFilmSchool - 2 days ago