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The FTC is investigating Uber for its subscription policies

November 27, 2024
in AI & Technology
Reading Time: 1 min read
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The FTC is investigating Uber for its subscription policies
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The Federal Trade Commission has put Uber in its sights once again. Bloomberg reported that the regulator is investigating complaints about the Uber One subscription program. Customers alleged that the company signed users up for the service without their consent and made it difficult to cancel their subscriptions. According to documents seen by Bloomberg, the Commission opened this inquiry earlier this year.

“We will continue to answer any questions the FTC may have about our cancellation policies,” Uber representative Noah Edwardsen told the publication. “The Uber One cancellation process follows both the letter and the spirit of the law: Uber One members can easily cancel their membership in the app — in fact, the majority of those cancellations take 20 seconds or less.”

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Earlier in 2024, the FTC ratified a “click to cancel” rule that requires companies make it as easy to end a subscription as it is to start one. The regulator sued Amazon and Adobe for similar claims around their subscription products within the past year.

This also isn’t the first time the FTC has examined the rideshare company. Uber agreed to a settlement with the agency in 2017 around questions of exaggerating driver income to encourage recruitment. In 2018, the company also reached an accord around a data breach and misconduct in trying to cover up the scope of the problem.

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