Google has agreed to pay at least $19 million in refunds to customers whose children made in-app purchases without their permission as part of a settlement with the Federal Trade Commission.

The FTC announced on Thursday that the two parties had reached an agreement over the complaint stretching back to 2011, when in-app purchases were first introduced to programs on what was then called the Android Market.


"For millions of American families, smartphones and tablets have become a part of their daily lives," FTC Chairwoman Edith Ramirez said in a statement. "As more Americans embrace mobile technology, it's vital to remind companies that time-tested consumer protections still apply, including that consumers should not be charged for purchases they did not authorize."

The settlement includes the stipulation that Google must change its billing practices to request express, informed consent before every Google Play app transaction. If users agree to a set window of time for transactions to be authorized, they must have the option to withdraw their consent at any time.

A Google representative said in a statement that the firm has already made these changes, and that "[w]e're glad to put this matter behind us so we can focus on creating more ways for people to enjoy all the entertainment they love."

The firm agreed to an EU Commission ruling in July which required it to stop listing games with in-app purchases as "free".

The FTC settlement follows a similar decision in January, in which Apple was ordered to refund at least $32.5 million to customers for their children's in-app purchases. Amazon has so far refused a settlement, saying that the company has improved practices but regularly refunded unauthorized transactions "even at launch".

Posted: Sep 08, 2014 12:17 pm
Related Forum: Mobile Devices

Source: http://www.computerandvideogames.com/475985/google-to-pay-19-million-in-kids-in-app-purchase-refunds/