The Federal Trade Commission asked a federal court in Seattle on Wednesday to delay a September trial in its case alleging Amazon misled consumers over its Prime subscription service, citing “severe resource shortfalls when it comes to each money and personnel.”
Jonathan Cohen, an attorney for the FTC, told US District Judge John Chun during a hearing that the agency is facing a “dire resource situation” amid cost cutting measures enacted under President Trump’s administration.
“We’ve lost employees within the agency, in our division and on our case team,” Cohen said.
Cohen’s statements are the primary clear indication of how large-scale efforts led by Trump advisor and Tesla CEO Elon Musk to shrink government are affecting the FTC, which enforces consumer protection and antitrust laws.
Some employees on the case took a resignation offer sent out in January, and others resigned for other reasons, or are scheduled to be on leave in the course of the trial, and their positions can’t be filled resulting from a hiring freeze, Cohen said.
Trump signed an executive order in February forbidding government agencies to rent multiple worker for each 4 who leave.
The FTC accused Amazon in 2023 of using “deceptive user-interface designs generally known as ‘dark patterns’ to trick consumers into enrolling in automatically-renewing Prime subscriptions.”
Cohen said the case over what he called the world’s largest subscription program – which Amazon says has greater than 200 million subscribers worldwide – involves claims value not less than $1 billion.
Amazon has denied any wrongdoing. The lawsuit also names three of its senior executives as defendants.
Cohen cited recent rules limiting FTC attorneys to buying legal proceeding transcripts on the most affordable delivery schedule, which suggests they could take weeks to reach.
The Trump administration has also decided to not renew the lease on the constructing where most FTC attorneys work, so staff could also be required to maneuver offices in the midst of trial preparation, Cohen said. Travel accounts for FTC staff have been limited, he said.
“If you happen to are in crisis now so far as resources, how are things going to be different in two months?” Chun asked.
“I cannot guarantee that things won’t be even worse,” Cohen replied. But he said a delay would relieve strain on attorneys.
Amazon attorney John Hueston urged the judge to not reschedule, saying trial attorneys come and go in every case, “DOGE or no DOGE,” referring to Musk’s Department of Government Efficiency.
The judge asked the FTC to place in writing its request to delay the trial to later in the autumn.
The Federal Trade Commission asked a federal court in Seattle on Wednesday to delay a September trial in its case alleging Amazon misled consumers over its Prime subscription service, citing “severe resource shortfalls when it comes to each money and personnel.”
Jonathan Cohen, an attorney for the FTC, told US District Judge John Chun during a hearing that the agency is facing a “dire resource situation” amid cost cutting measures enacted under President Trump’s administration.
“We’ve lost employees within the agency, in our division and on our case team,” Cohen said.
Cohen’s statements are the primary clear indication of how large-scale efforts led by Trump advisor and Tesla CEO Elon Musk to shrink government are affecting the FTC, which enforces consumer protection and antitrust laws.
Some employees on the case took a resignation offer sent out in January, and others resigned for other reasons, or are scheduled to be on leave in the course of the trial, and their positions can’t be filled resulting from a hiring freeze, Cohen said.
Trump signed an executive order in February forbidding government agencies to rent multiple worker for each 4 who leave.
The FTC accused Amazon in 2023 of using “deceptive user-interface designs generally known as ‘dark patterns’ to trick consumers into enrolling in automatically-renewing Prime subscriptions.”
Cohen said the case over what he called the world’s largest subscription program – which Amazon says has greater than 200 million subscribers worldwide – involves claims value not less than $1 billion.
Amazon has denied any wrongdoing. The lawsuit also names three of its senior executives as defendants.
Cohen cited recent rules limiting FTC attorneys to buying legal proceeding transcripts on the most affordable delivery schedule, which suggests they could take weeks to reach.
The Trump administration has also decided to not renew the lease on the constructing where most FTC attorneys work, so staff could also be required to maneuver offices in the midst of trial preparation, Cohen said. Travel accounts for FTC staff have been limited, he said.
“If you happen to are in crisis now so far as resources, how are things going to be different in two months?” Chun asked.
“I cannot guarantee that things won’t be even worse,” Cohen replied. But he said a delay would relieve strain on attorneys.
Amazon attorney John Hueston urged the judge to not reschedule, saying trial attorneys come and go in every case, “DOGE or no DOGE,” referring to Musk’s Department of Government Efficiency.
The judge asked the FTC to place in writing its request to delay the trial to later in the autumn.
