Epic Games, the creator of Fortnite, is set to refund millions to customers who fell victim to deceptive billing practices. As part of a historic settlement with the Federal Trade Commission (FTC), the company has been ordered to pay $245 million to address allegations of using “dark patterns” to mislead players into making unintended purchases. This marks the largest refund in a gaming-related case in the FTC’s history.
FTC Settlement Addresses Unlawful Billing Practices Of Epic Games
The FTC announced on Monday that over 629,000 payments, totaling $72 million, will be distributed in the initial round of refunds. Half of these payments will be sent through PayPal, with the remainder issued as checks. Customers who filed claims have already selected their preferred payment method, with deadlines to redeem funds set at 30 days for PayPal and 90 days for checks. On average, affected players will receive $114 in refunds.
The allegations stem from Epic Games’ use of manipulative interface designs that caused players, including children and teenagers, to unintentionally incur charges. According to the FTC, confusing button layouts and deceptive prompts frequently led to accidental purchases. For example, transitioning the game from sleep mode or previewing in-game items often triggered unauthorized transactions.
FTC Chair Lina M. Khan emphasized the broader implications of this case, stating, “Protecting the public, especially children, from online privacy invasions and dark patterns is a top priority for the Commission.” She added that the enforcement action underscores the FTC’s commitment to cracking down on businesses employing such deceptive practices.
This settlement serves as a stark reminder of the growing scrutiny over digital consumer protection and corporate accountability in the gaming industry. As Epic Games begins the refund process, the case sets a precedent for how regulators may address similar complaints in the future.