FTC Takes Uber to Court Over Alleged Subscription Shenanigans

The US Federal Trade Commission has filed a lawsuit against Uber, accusing it of enrolling consumers in its Uber One subscription program without consent and complicating the cancellation process. Customers reported unauthorized sign-ups, and the FTC highlighted the extensive steps needed for cancellation. Uber disputes these claims.

The US Federal Trade Commission (FTC) has launched a legal battle against Uber, alleging the ride-hailing giant signed up users for its Uber One subscription without explicit consent. The program, costing $9.99 a month or $96 annually, offers benefits like fee-free Uber Eats deliveries and ride cashback.

According to the FTC's lawsuit, many users complained about being unknowingly enrolled and charged before the end of a trial period. In one instance, a consumer was billed despite not having an Uber account. The FTC further criticized Uber for complicating the cancellation process, requiring up to 12 steps across seven screens, with additional hurdles appearing close to billing dates.

FTC Chairman Andrew N. Ferguson expressed frustration over these subscription practices, while Uber has defended its procedures, stating its processes are transparent and lawful. The company added that it had simplified cancellations, which now take under 20 seconds in-app.

(With inputs from agencies.)