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Amazon Proposes $309.5 Million Settlement in Return Policy Lawsuit

Amazon has reached a proposed class action settlement to resolve allegations that its return and refund practices violated Washington consumer protection laws. While the company denies any wrongdoing, the deal establishes a $309.5 million common fund to compensate customers who experienced missing or incorrect refunds between 2017 and 2026.

Amazon Proposes $309.5 Million Settlement in Return Policy Lawsuit

The litigation, pending in the U.S. District Court for the Western District of Washington, centers on claims that customers were either denied refunds or improperly charged after returning products purchased on Amazon.com. The settlement covers individuals who initiated returns for physical products received in the U.S. between September 5, 2017, and February 12, 2026. Under the terms, Amazon has committed to making reasonable efforts to complete previously unpaid refunds and will contribute to the non-reversionary fund to cover distributions, administrative costs, and legal fees.

Class members are divided into two subclasses with different requirements for receiving payment. Those in Subclass A will receive payments automatically but must select a preferred method via the official settlement website. Members of Subclass B are required to submit a claim form by December 1, 2026, to qualify for compensation. Those wishing to opt out of the settlement or file an objection must also do so by the December 1 deadline.

Class Counsel, represented by Zigler Law Group, LLC and Quinn Emanuel Urquhart & Sullivan, LLP, may request up to $100 million in attorneys' fees and $1 million in cost reimbursements, subject to final court approval. A hearing to determine the fairness and adequacy of the agreement is scheduled for March 16, 2027, in Seattle. Further details, including claim forms and legal documentation, are available at www.ReturnSettlement.com.

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