Amazon is facing a proposed class action lawsuit filed on August 22, 2025, in a federal court in Washington. The lawsuit claims that Amazon misleads customers into thinking they are buying digital movies and TV shows on Prime Video.
In reality, the lawsuit says, customers are only receiving a revocable license to view the content. This license can be revoked if Amazon loses distribution rights, which could result in users losing access to their purchased titles.
The lawsuit accuses Amazon of violating California laws on unfair competition, false advertising, and consumer legal remedies. It seeks unspecified damages, including the return of profits and punitive damages for alleged intentional misconduct. Amazon has not commented publicly on the case.
In a previous lawsuit over a similar issue, Amazon argued that the word “buy” is not misleading because users understand purchases are subject to licensing agreements.
However, a California law passed earlier this year states that the term “purchase” can only be used if it grants full ownership. Sellers must confirm that buyers are aware they are purchasing a limited license that can be revoked.
The case has renewed concerns about digital ownership and the clarity of online content sales. Experts advise consumers to carefully review terms and conditions when buying digital movies or shows.
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