Epic Games Ordered to Refund $72 Million After FTC Finds ‘Tricked’ Purchases in Fortnite – How To Claim Refund

Key Takeaways

1. Epic Games is issuing refunds totalling $72 million to players after the FTC found the company engaged in deceptive billing practices using dark patterns.
2. Affected Fortnite players include those who unknowingly made purchases, often through accidental button presses or concealed charges.
3. Eligible players can claim their refunds online, with the refund process ongoing until the January 10 deadline.

Epic Games and the Controversial Refund Settlement

Fortnite, one of the most popular online video games globally, recently found itself at the center of a major legal and ethical controversy. While millions of players worldwide enjoy the game for free, the in-game purchase system often referred to as microtransactions has come under fire for alleged deceptive practices. The Federal Trade Commission (FTC) accused Epic Games, Fortnite’s developer, of “tricking” users, including children, into spending money on in-game purchases unknowingly.

As a result, the FTC announced the first round of refunds amounting to $72 million distributed to nearly 630,000 Fortnite players. This payout is part of a broader $245 million settlement that Epic Games agreed to in 2022 after accusations of “unlawful billing practices.”

So, how did things escalate to this point? Let’s dive deeper into what happened and what this means for Fortnite players.

What Did Epic Games Do Wrong?

The Role of Dark Patterns in Fortnite’s Design

At the heart of the issue lies a design tactic called dark patterns. If you’re unfamiliar with the term, dark patterns are UI/UX design elements intentionally created to mislead or trick users into taking actions they wouldn’t typically choose. Think of it like a booby trap for your wallet.

According to the FTC, Fortnite’s interface was intentionally designed to make it easy for users especially kids to make accidental purchases. Some examples include:

• One-Button Purchases: A simple misclick while waking up the game from sleep mode or previewing an item could result in an unwanted transaction.
• No Confirmation Prompts: Purchases were often completed without providing players with a clear prompt for approval or a final “Are you sure?” moment.
• Unclear Parental Controls: Many parents found out too late that their kids had racked up massive bills on their credit cards without permission.

Account Lockouts for Disputed Charges

Adding fuel to the fire, players who disputed unauthorized charges were often locked out of their accounts. Imagine losing access to hundreds of dollars’ worth of purchased content just for challenging a charge! This heavy-handed response by Epic Games left many users furious and was cited by the FTC as another example of exploitative practices.

The $245 Million Settlement: Breaking Down the Numbers

The FTC’s settlement with Epic Games represents the largest-ever refund in a gaming-related case. While $72 million has already been refunded to players, the agency plans to distribute additional refunds in future rounds.

Here’s how the first phase of the refund process is working:

1. Who Gets Refunds?
   • Players who accidentally made purchases without consent.
   • Players who were charged after waking the game from sleep mode or previewing items.
   • Users locked out of their accounts after disputing unauthorized charges.
2. How Much Are Players Receiving?
   • Nearly 630,000 players have received refunds so far, with the average payout being around $114 per customer.
3. Payment Methods
   • Refunds are issued either through PayPal or physical checks, depending on the customer’s choice during the claims process.
4. Deadlines
   • PayPal payments must be redeemed within 30 days.
   • Checks must be cashed within 90 days.

What Should Affected Players Do?

If you believe you’re eligible for a refund but haven’t claimed it yet, don’t panic. There’s still time to act. The deadline for submitting claims is January 10. Here’s a simple guide to get started:

1. Visit the FTC’s Refund Portal
   Go to the official FTC refund website and locate the claim submission page for Epic Games refunds.
2. Check Your Eligibility
   You may qualify if you:
   • Made an accidental or unauthorized in-game purchase.
   • Were locked out of your account after disputing charges.
3. Submit Your Claim
   Provide accurate details, including your Epic Games account information and purchase records. If you’re unsure about the exact charges, contact Epic Games customer support for assistance.
4. Monitor Your Payment
   Once approved, you’ll receive your refund via PayPal or check. Remember to redeem or deposit your refund within the specified deadlines.

The Bigger Picture: What This Means for the Gaming Industry

The Epic Games case has sent shockwaves throughout the gaming industry, forcing developers to rethink their monetization strategies. While microtransactions and in-game purchases are a lucrative revenue stream, they’ve also become a lightning rod for controversy particularly when they target younger audiences or employ misleading tactics.

This settlement is a wake-up call, not just for Epic Games but for all game developers who use dark patterns or questionable billing practices. Here are some key lessons:

1. Transparency is Key
   Players deserve clear, upfront information about how purchases work. Any ambiguity is likely to backfire in the long run.
2. Parental Controls Matter
   Games like Fortnite, which attract younger audiences, must ensure robust parental control systems that prevent unauthorized spending.
3. Account Protections are Essential
   Locking users out of their accounts for disputing charges isn’t just bad practice it’s downright unethical.

Frequently Asked Questions (FAQ)

1. How can I check if I qualify for a refund?
Visit the FTC’s refund page and review the eligibility criteria. If you made an accidental purchase or experienced account issues related to unauthorized charges, you likely qualify.

2. What’s the deadline to file a refund claim?
The deadline for submitting claims is January 10. Don’t wait too long to act!

3. How will I receive my refund?
Refunds are issued via PayPal or checks, based on the payment method you selected during the claims process.

4. Can I still play Fortnite if I dispute charges?
Epic Games has agreed to improve its practices. However, in the past, some players were locked out of their accounts after disputes. Keep an eye on Epic’s updated policies to avoid issues.

5. What changes is Epic Games making after the settlement?
While Epic hasn’t detailed all changes, the company is under pressure to eliminate dark patterns, improve transparency, and ensure fairer billing practices.