Parents in the United States whose children made unauthorized purchases within the popular online game Fortnite will now have the opportunity to claim refunds for these transactions, beginning today.
This development comes after the US regulator accused Fortnite’s developer, Epic Games, of employing tactics that misled players into making unintended purchases and violating their privacy. In 2022, Epic Games agreed to a substantial payout of $245 million (£198 million) to provide refunds for such transactions.
The Federal Trade Commission (FTC) has initiated the process of reaching out to approximately 37 million individuals to inform them about the compensation procedure.
Fortnite, a globally renowned video game, boasts a massive player base of over 400 million users. It operates on a free-to-play model, generating revenue primarily through in-game purchases.
The FTC’s allegations against Epic Games revolved around the claim that Fortnite employed “deceptive interfaces” capable of triggering purchases while the game loaded and accused the game of having default settings that infringed upon users’ privacy.
In total, Epic Games settled for $520 million with the FTC concerning these concerns. This settlement encompasses a $275 million fine, which is the largest ever imposed by the FTC for a rule violation, pertaining to how Fortnite collected data on its users, including those under the age of 13, without parental consent. The remainder of the settlement will be disbursed as refunds.
While no similar agreement has been established for the United Kingdom, Matthew Weissinger, Epic Games’ Vice President of Marketing, had previously indicated to the UK government that refunds would be available to UK parents whose children made unauthorized purchases.
The specifics of the refund process under the US settlement include compensation for in-game purchases like outfits, loot boxes, and Fortnite’s virtual currency, V-Bucks. Individuals who have been contacted by the FTC will have until January 2024 to submit their refund requests.
This process extends to claims from anyone in the US who believes they were charged in the game for items they did not intend to purchase between January 2017 and September 2022. Notably, it also encompasses cases where children made purchases using their parents’ credit cards, but this must have transpired between January 2017 and November 2018.
Additionally, individuals can seek compensation if they can demonstrate that their Fortnite account became inaccessible after filing a complaint with their credit card company regarding unauthorized charges.
Upon the initial announcement of the settlement, Epic Games stated that it had introduced various changes to Fortnite to address the issue of unintended in-game purchases. These changes include the implementation of parental controls, spending limits for players under 13, and high default privacy settings for children.
Epic Games affirmed its commitment to consumer protection, stating, “We accepted this agreement because we want Epic to be at the forefront of consumer protection and provide the best experience for our players.”
It’s worth noting that the FTC is responsible for handling the distribution of compensation, and affected players are encouraged to contact the regulator directly through its official website.