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122 3237

UNITED STATES OF AMERICA 

BEFORE THE FEDERAL TRADE COMMISSION

COMMISSIONERS: Edith Ramirez, Chairwoman

Julie Brill

Maureen K. Ohlhausen

Joshua D. Wright

Terrell McSweeny

In the Matter of

GOOGLE INC.,

a corporation.

DOCKET NO. C-4499

DECISION AND ORDER

The Federal Trade Commission having initiated an investigation of certain acts and 

practices of the Respondent named in the caption hereof, and Respondent having been furnished 

thereafter with a copy of a draft complaint that the Bureau of Consumer Protection proposed to 

present to the Commission for its consideration and which, if issued by the Commission, would 

charge Respondent with a violation of the Federal Trade Commission Act (“FTC Act”), 

15 U.S.C. § 45 et seq; and

Respondent and counsel for the Commission having thereafter executed an Agreement 

Containing Consent Order (“Consent Agreement”), which includes a statement by Respondent 

that it neither admits nor denies any of the allegations in the draft complaint, except as 

specifically stated in the Consent Agreement, and, only for purposes of this action, admits the 

facts necessary to establish jurisdiction; and waivers and other provisions as required by the 

Commission’s Rules; and

The Commission having thereafter considered the matter and having determined that it 

has reason to believe that Respondent has violated the FTC Act, and that a complaint should 

issue stating its charges in that respect, and having thereupon accepted the executed Consent 

Agreement and placed such Consent Agreement on the public record for a period of thirty (30) 

days for the receipt and consideration of public comments, and having duly considered the
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comments received from interested persons pursuant to Commission Rule 2.34, 16 C.F.R. § 2.34, 

now in further conformity with the procedure prescribed in Commission Rule 2.34, the 

Commission hereby issues its complaint, makes the following jurisdictional findings, and enters 

the following order:

1. Respondent Google Inc. (“Google”) is a Delaware corporation with its principal place of

business at 1600 Amphitheatre Parkway, Mountain View, California 94043.

2. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding 

and of Respondent, and the proceeding is in the public interest.

ORDER

DEFINITIONS

For the purposes of this order, the following definitions shall apply:

1. “Account Holder” means an individual or entity, with a billing address in the 

United States, that controls an account to which Google may bill In-App Charges.

2. “Application” or “App” means any software application that can be installed on a 

mobile device.

3. “Clear and Conspicuous” or “Clearly and Conspicuously” means:

A. In textual communications, the disclosure must be in a noticeable 

type, size, and location, using language and syntax comprehensible to an 

ordinary consumer;

B. In communications disseminated orally or through audible means, the 

disclosure must be delivered in a volume, cadence, language, and syntax 

sufficient for an ordinary consumer to hear and comprehend them;

C. In communications disseminated through video means: (1) written 

disclosures must be in a form consistent with definition 3.A and appear on 

the screen for a duration sufficient for an ordinary consumer to read and 

comprehend them, and be in the same language as the predominant language 

that is used in the communication; and (2) audio disclosures must be 

consistent with definition 3.B; and

D. The disclosure cannot be combined with other text or information 

that is unrelated or immaterial to the subject matter of the disclosure. No 

other representation(s) may be contrary to, inconsistent with, or in mitigation 

of, the disclosure.

4. “Respondent” or “Google” means Google Inc. and its successors and assigns.
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5. “Express, Informed Consent” means, upon being presented with options to

provide or withhold consent, an affirmative act communicating informed authorization of InApp Charge(s), made proximate to an In-App Activity for which there is an In-App Charge and 

to Clear and Conspicuous disclosure of all material information related to the billing, including:

A. If consent is sought for a specific In-App Charge: (1) the In-App Activity 

associated with the charge; (2) the specific amount of the charge; and (3) the account 

that will be billed for the charge (e.g., the Google account); or

B. If consent is sought for potential future In-App Charges: (1) the scope of the 

charges for which consent is sought, including the duration, devices, and Apps to which 

consent applies; (2) the account that will be billed for the charge; and (3) method(s) 

through which the Account Holder can revoke or otherwise modify the scope of consent 

on the device, including an immediate means to access the method(s).

Provided that in obtaining Express, Informed Consent, Google may rely on information 

provided by the App’s developer about the In-App Activity associated with the In-App Charge. 

Provided also that the means of requesting the “affirmative act” and the disclosure of 

the information in definitions 5.A and 5.B above must be reasonably calculated to ensure that 

the person providing Express, Informed Consent is the Account Holder.

Provided also that if Google obtains Express, Informed Consent to potential future InApp Charges as set forth in definition 5.B above, it must do so a minimum of once per account 

or mobile device.

6. “In-App Activity” or “In-App Activities” means any user conduct within an App 

including the acquisition of real or virtual currency, goods, or services or other Apps.

7. “In-App Charge” means a charge associated with In-App Activity billed by Google.

8. “Consumer Redress Period” means the twelve (12) month period of time

between the entry and the first anniversary of this order.

I .

IT IS FURTHER ORDERED that Google and its officers, agents, and employees, and 

all other persons in active concert or participation with it, who receive actual notice of this order, 

whether acting directly or indirectly, are restrained and enjoined for the term of this order from 

billing an account for any In-App Charge without having obtained Express, Informed Consent to 

Google’s billing that account for the In-App Charge. If Google seeks and obtains Express, 

Informed Consent to billing potential future charges for In-App Activities, Google must allow 

the Account Holder to revoke such consent at any time. 
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Provided that this section does not apply where Google does not control the user 

interface in which the In-App Charge is incurred.

Provided also that, where an Account Holder provides Express, Informed Consent to 

potential future In-App Charges at the account level, Google will provide, at least once before 

the first In-App Charge on a device, Clear and Conspicuous disclosure of the information in 5.B.

II.

IT IS FURTHER ORDERED that Google shall provide full refunds to Account Holders 

who have been billed by Google for unauthorized In-App Charges incurred by minors as follows:

A. Google shall provide prompt refunds to Account Holders for the full purchase 

price of any Eligible In-App Charge(s). For purposes of this Section II, an “Eligible In-App 

Charge” is an In-App Charge that the Account Holder indicates was: (1) paid by the Account 

Holder and incurred by a minor; (2) and was accidental or not authorized by the Account 

Holder; and (3) has not already been refunded. For purposes of this Section II.A, a “prompt” 

refund means a refund provided within the later of (1) thirty (30) days for a refund issued by 

check or ten (10) days for a refund issued by other means of a request for refund of an Eligible 

In-App Charge by the Account Holder; or (2) the completion of a fraud investigation. Google 

may decline a refund request for an Eligible In-App Charge only if it has sufficient credible 

evidence that the refund request is fraudulent. Google may process all refund requests through 

its customer service channels, which include a contact phone number and web form through 

which consumers may contact Google directly.

B. Google shall refund no less than $19,000,000 for Eligible In-App Charges 

pursuant to section II.A of this order, and such amount shall not constitute a penalty. 

C. Within thirty (30) days of the end of the Consumer Redress Period, Google shall 

provide the Commission with records sufficient to show the refunds requested and paid to 

Account Holders for In-App Charges during the Consumer Redress Period, and any requests that 

were denied under Section II.A of this order.

D. If Google fails to refund $19,000,000 pursuant to section II.B of this order, the 

balance of that amount shall be remitted to the Commission within forty-five (45) days of the end 

of the Consumer Redress Period.

E. All funds paid to the Commission pursuant to section II.D of this order may be 

deposited into a fund administered by the Commission or its designee to be used for equitable 

relief, at the Commission’s sole discretion, for informational remedies regarding In-App Charges 

by children or consumer redress and any attendant expenses for the administration of any redress 

fund. Any money not used for such purposes shall be deposited to the United States Treasury. 

Google shall have no right to challenge the Commission’s choice of remedies under this 

Paragraph.
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F. Google shall provide an electronic notice to any Account Holder who has made an 

In-App Purchase prior to entry of the order. Google shall send such notice within fifteen (15) 

days after entry of the order. The electronic notice shall include a subject line relating to the 

content of the notice and contain the following information, disclosed in a Clear and 

Conspicuous manner and in writing: (1) that refunds are available for Account Holders that have 

been billed for In-App Charges incurred by minors that were not authorized by the Account 

Holder, (2) that such refunds are available until the end of the Consumer Redress Period, and (3) 

instructions regarding how to obtain refunds pursuant to section II.A of this order, including 

means of contacting Google for a refund. Google shall send the notice to the current or last 

known email address for the Account Holder.

G. Sections II.A and II.B of this order shall be effective beginning on the date that 

the order is entered, and will terminate at the end of the Consumer Redress Period.

III.

IT IS FURTHER ORDERED that Respondent and its successors and assigns for five 

(5) years after the date of issuance of this order, shall maintain and upon request make available 

to the Federal Trade Commission business records demonstrating their compliance with the 

terms and provisions of this order, including but not limited to:

A. All complaints from United States consumers conveyed to Respondent, or 

forwarded to Respondent by a third party, that relate to the conduct prohibited by this order 

and any responses to such complaints;

B. Refund requests from United States consumers related to In-App Charges, 

and refunds paid by Respondent related to In-App Charges; and

C. Records necessary to demonstrate full compliance with each provision of this 

order.

IV.

IT IS FURTHER ORDERED that Respondent and its successors and assigns shall 

deliver a copy (written or electronic) of this order to all current and future principals, officers, and 

corporate directors, and to all current and future managers, employees, agents, and representatives 

who have supervisory responsibility regarding the design of the platform in which Account 

Holders incur In-App Charges and those who implement that design. For the duration of the 

Consumer Redress Period, Respondent and its successors and assigns shall deliver a copy (written 

or electronic) of this order to all current and future employees who have responsibility for 

providing refunds to consumers in connection with this order. Respondent shall deliver this order 

to current personnel within thirty (30) days after the date of service of this order, and to future 

personnel within thirty (30) days after the person assumes such position or responsibilities.
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V .

IT IS FURTHER ORDERED that Respondent and its successors and assigns shall 

notify the Commission within fourteen (14) days of any change in the corporation that may 

affect compliance obligations arising under this order, including but not limited to a dissolution, 

assignment, sale, merger, or other action that would result in the emergence of a successor 

corporation; the creation or dissolution of a subsidiary, parent, or affiliate that engages in any 

acts or practices subject to this order; the proposed filing of a bankruptcy petition; or a change in 

the corporate name or address. All notices required by this Part shall be sent by certified mail to 

the Associate Director, Division of Enforcement, Bureau of Consumer Protection, Federal Trade 

Commission, Washington, D.C. 20580.

VI.

IT IS FURTHER ORDERED that Respondent or its successors and assigns shall, ninety 

(90) days after entry of the order, file with the Commission a report, in writing, setting forth in 

detail the manner and form in which they have complied with this order. Within ten (10) business 

days of receipt of a written notice related to this order from a representative of the Commission, 

Respondent shall submit an additional compliance report setting forth the manner and form in 

which Respondent has complied with this order.

VII.

This order will terminate on December 2, 2034, or twenty (20) years from the most 

recent date that the United States or the Federal Trade Commission files a complaint (with or 

without an accompanying consent decree) in federal court alleging any violation of the order, 

whichever comes later; provided, however, that the filing of such a complaint will not affect 

the duration of:

A. Any Part in this order that terminates in less than twenty (20) years; and

B. This order if such complaint is filed after the order has terminated pursuant to this 

Part.

Provided, further, that if such complaint is dismissed or a federal court rules that the 

Respondent did not violate any provision of the order, and the dismissal or ruling is either not 

appealed or upheld on appeal, then the order will terminate according to this Part as though the 

complaint had never been filed, except that the order will not terminate between the date such 

complaint is filed and the later of the deadline for appealing such dismissal or ruling and the date 
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such dismissal or ruling is upheld on appeal. Respondent may seek modification of this order 

pursuant to 15 U.S.C. § 45(b) and 16 C.F.R. 2.51(b) to address relevant developments that affect 

compliance with this order, including, but not limited to, technological changes and changes in 

methods of obtaining Express, Informed Consent.

By the Commission, Commissioner Wright recused.

Donald S. Clark

Secretary

SEAL:

ISSUED: December 2, 2014