The FTC has filed a formal lawsuit against Uber, alleging deceptive practices related to its Uber One subscription service. Consumers found it easy to sign up, but difficult to cancel, often needing to complete numerous screens and actions. The lawsuit accuses Uber of violating the FTC Act by failing to clearly disclose subscription terms and charging customers before free trials ended. Uber plans to contest the claims, asserting users do not face these cancellation obstacles and that consent is obtained prior to charges.
According to the FTC, Uber made it easy for subscribers to join Uber One, but much harder to cancel. 'Users can be forced to navigate as many as 23 screens and take as many as 32 actions to cancel,' the commission claims.
The lawsuit says that Uber's actions violated the FTC Act and the Restore Online Shoppers' Confidence Act, which 'requires online retailers to clearly disclose the terms of the service they are selling, obtain consumers' consent before charging them for a service and provide a simple way to cancel a recurring subscription.'
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