Ring Customers Eligible for Refunds in $5.6 Million FTC Settlement

As a result of a recent settlement, the Federal Trade Commission (F.T.C.) has announced that customers who purchased specific home security cameras from Ring, a company owned by Amazon, are now eligible for refunds. The total amount set for refunds exceeds $5.6 million and is part of the resolution between Ring and the F.T.C. regarding allegations of inadequate protection of customer accounts.

Last May, the F.T.C. filed a lawsuit against Ring, accusing the company of permitting its employees and contractors to view customers’ private video footage. According to the agency's complaint, Ring utilized these videos for training computer algorithms without obtaining proper consent from the customers. Additionally, Ring allegedly lacked adequate security measures, consequently exposing customer accounts, videos and cameras to potential hacking threats.

Settlement Terms

Following the legal action, Ring and the F.T.C. reached a settlement. As part of this agreement, Ring made a payment intended for customer refunds and deleted all unauthorized private videos. Furthermore, Ring committed to establishing a comprehensive privacy and security program to prevent similar incidents in the future. The F.T.C. has utilized the settlement funds to disburse 117,044 PayPal payments to affected customers.

When approached for comment, Ring did not immediately respond. However, following the settlement, Ring released a statement asserting that the company had proactively addressed security and privacy concerns prior to the F.T.C.'s lawsuit. Ring also criticized the F.T.C., alleging a misrepresentation of its security practices and an oversight of the existing customer protections.