FTC Goes After Uber Over Dubious Subscriber Practices

The U.S. Federal Trade Commission has filed a lawsuit against Uber Technologies, alleging the company enrolled users into the Uber One subscription service without their consent and made deceptive claims. Uber denies the accusations, maintaining its processes are transparent. The FTC continues its track record of challenging Uber's practices.

The U.S. Federal Trade Commission (FTC) has initiated legal action against Uber Technologies, accusing the ride-hailing giant of enrolling users into its Uber One subscription service without their knowledge and making misleading claims about its benefits.

According to the FTC, the service, priced at $9.99 per month, was advertised to save users $25 monthly, and consumers were misled about how easily they could cancel. FTC Chairman Andrew Ferguson emphasized that Americans are seeking relief from subscriptions that are difficult to opt-out of, asserting that the agency is fighting back on behalf of the public.

Uber spokesperson Noah Edwardsen countered these claims, insisting that Uber's subscription processes are transparent and legal. The lawsuit is a continuation of multiple past disputes between the FTC and Uber, including a 2017 settlement over privacy misrepresentations and a $20 million settlement in 2018 concerning inflated earnings claims.

(With inputs from agencies.)