The FTC finalizes Epic's $245 million settlement over sketchy Fortnite purchases

The Federal Trade Commission slammed Epic Games with $245 million in fines this week, ordering the Fortnite developer to compensate consumers who made unwitting purchases in its digital store. The settlement, first announced back in December, is now finalized.

"Fortnite’s counterintuitive, inconsistent, and confusing button configuration led players to incur unwanted charges based on the press of a single button," the FTC wrote in the announcement. The complaint also criticized Epic for allowing underage players to make frictionless, unauthorized purchases without sign off from their parents.

The $245 million settlement — a huge number but one that doesn't top the regulator's $5 billion fine against Facebook in 2019 — will go toward refunding customers. The FTC order will also require Epic to discontinue its use of "digital design tricks" like dark pattern design, obtain affirmative consent for digital purchases and it will block the company from locking the accounts of customers who dispute charges for digital goods and services.

The latest settlement, now finalized, follows another massive $275 million in fines that the agency proposed in December over the company's handling of accounts for Fortnite players under the age of 13. The FTC alleged that Epic ran afoul of the Children’s Online Privacy Protection Act (COPPA) by collecting full names and contact information from children without parental consent. That settlement also cited Epic's decision to launch Fortnite without parental controls and special protections for the young users who comprise a large swath of its player base.