In a significant legal development on Monday, almost two dozen states, along with the District of Columbia, have reinforced the Federal Trade Commission’s (FTC) lawsuit against Uber by filing an amended complaint. This legal action accuses the ride-hailing giant of charging consumers for its Uber One subscription without obtaining their proper consent, initiating billing before the conclusion of a free trial period, and presenting misleading information regarding potential savings through the subscription. It is alleged that Uber One subscribers faced a daunting and complicated cancellation process, reportedly requiring engagement with up to 23 screens and 32 different actions.
The states rallying behind this legal battle include Alabama, Arizona, California, Connecticut, Illinois, Maryland, Michigan, Minnesota, Missouri, Montana, Nebraska, New Hampshire, New Jersey, New York, North Carolina, Ohio, Oklahoma, Pennsylvania, Virginia, West Virginia, and Wisconsin. The press release accompanying the lawsuit emphasizes that the amended complaint seeks civil penalties for what it describes as breaches of the Restore Online Shoppers’ Confidence Act and corresponding state laws.
In response to these serious allegations, Uber has refuted the FTC’s claims. At the time of the original lawsuit filing, Uber issued a statement to The Verge, asserting that the process for subscription cancellation has been streamlined. According to the company, customers can now cancel their subscriptions directly within the app, a process that reportedly takes most users no more than 20 seconds.
