ARTICLE · 02 MAY 2025

FTC Signals Enforcement On Auto-Renewing Subscriptions And Sales

Holland & Knight

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In January 2025, prior to President Donald Trump's inauguration, the Federal Trade Commission (FTC) finalized its Click to Cancel Rule (Rule).

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Highlights

The Federal Trade Commission (FTC) on April 21, 2025, sued Uber in the U.S. District Court for the Northern District of California for allegedly engaging in unfair and deceptive practices related to its auto-renewing Uber One subscription service.
The FTC's lawsuit alleges that Uber failed to clearly and conspicuously disclose material information about its auto-renewing subscription, failed to permit customers to easily cancel their subscriptions and misrepresented the amount of savings that customers would achieve by signing up for Uber One. The allegations in the FTC's lawsuit are similar to those made in another settlement with Cleo AI that the FTC announced in March 2025.

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