Amazon has agreed to pay $2 million in penalties, costs, and restitution to the state's Consumer Protection Trust Fund, according to a press release from the San Diego County District Attorney's Office.
The penalties come after the company settled a lawsuit with San Diego County and five other California counties over allegedly misleading consumers with price listings on their website and ads.
The San Diego County District Attorney's office will receive $300,000 in costs and penalties.
In addition to the money, Amazon is also required "to make changes and revisions to its 'List' and 'Was' pricing disclosures to explain the way it determines and validates its reference prices."
They must provide a hyperlink that will give consumers a clear definition of the meaning of both "Was" and "List" price advertisements.
"When consumers shop online, they need to be able to trust that when a product is advertised as being a bargain, it truly is,” said District Attorney Summer Stephan. “This judgment should remind retailers that the law requires them to provide accurate information so consumers can make informed purchasing decisions. Our Consumer Protection Unit continues to hold companies accountable and collaborate successfully with our prosecution partners across the state of California."
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