Facebook knowingly duped game-playing kids and their parents out of money
The memo stated, “Friendly Fraud – what it is, why it’s challenging, and why you shouldn’t try to block it.” “Friendly fraud” is the term Facebook used when children spent money on games without their parents’ permission.
Facebook made clear that game developers should let children spend money even without their parents’ permission.
The company was focused on revenue, not blocking friendly fraud. Its stated philosophy on chargebacks was “maximizing revenue,” according to the memo.
“There is a huge need to educate developers,” Elizabeth Williges, a Facebook employee wrote in the memo.
Michael: … I wouldn’t refund
Gillian: Oh that’s fine. Cool. Agreed. Just double checking.
Facebook knowingly duped game-playing kids and their parents out of money