Adobe faces FTC lawsuit due to alleged deceptive practices

A legal battle between FTC and Adobe has sparked and the latter is ready to take it to court.

The go-to solution for photo and video editing is Adobe. But Adobe faced an intense backlash from the community after it updated its terms of service agreement. One of the reasons that got users upset is the change in Adobe’s General Terms of Use in February, where the firm may access user content via automated or manual means.

Those who disliked the changes want to cancel their subscriptions, however, Adobe is somewhat preventing them from doing so. You’ll have to pay to cancel your subscription.

As such, the US Federal Trade Commission (FTC) has launched a case against Adobe for alleged deceptive practices. A complaint has been filed and it noted that Adobe pushed consumers toward the “annual paid monthly” subscription without sufficiently disclosing that canceling a plan in the first year can cost them hundreds of dollars.

“Adobe trapped customers into year-long subscriptions through hidden early termination fees and numerous cancellation hurdles,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection.

The complaint also revealed that the early termination fee (ETF) is buried while the subscription cost is prominently shown. What users don’t know is that the ETF can cost around 50% of the remaining monthly payments in the first year when it’s canceled. The details are allegedly in small print or hidden behind small icons, which users must hover over with a mouse.

Adobe denies FTC’s allegations and is ready to take the battle to court. If Adobe is found guilty, it will be fined and customers who were forced to pay the cancellation fees will be refunded.

Source 1 Source 2

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