By Ramishah Maruf | Cnn
New York – The Federal Trade Commission continued the giant of the Uber driver on Monday, alleging “deceptive” billing and cancellation practices in its Uber One subscription service.
The FTC allegedly alleged that the company invoiced customers to Uber One, a service for free delivery and discounts on the rides, without their consent and has made too difficult for them to cancel, despite the marketing “cancel at any time” of the company.
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“Americans are tired of registering for unwanted subscriptions that seem impossible to cancel,” said FTC president Andrew Ferguson in a press release.
Uber rejected the allegations. His lawyers who represented the company throughout the FTC investigation, including the former president of the FTC, Tim Muris and the former FTC commissioner, Christine Wilson, described him as “precipitated investigation process” and declared that the complaint was based on “misunderstandings”.
“We are disappointed that the FTC has chosen to go ahead with this action, but we are convinced that the courts will agree with what we already know: the registration and cancellation processes of Uber One are clear, simple, and follow the letter and the spirit of the law. Uber does not register or do not invoice consumers without their consent, and the cancellations can now be done at any time and do not take most of the 20 Less, “said the company in a declaration.
The FTC allegedly alleged that Uber “has not failed to achieve promised savings” for the Uber One subscription. Although customers have been promised $ 25 per month, “Uber does not take into account the cost of the subscription (up to $ 9.99) when calculating these savings,” the agency said in the press release.
Customers would also have been registered without their consent and were billed before the billing date. The trial used an example of customers who declared having registered a free trial and was then automatically billed before the end of the free trial.
And with regard to cancellation, the FTC said that users were forced to click up to 23 screens and take 32 measures to cancel.
“Some users are informed that they must contact customer support to cancel but have no way of contacting them; others claim that UBER invoiced them for another billing cycle after asking for the cancellation and waiting to find customer support,” the press release said.
The prosecution was filed with the American district court of the Northern District of California and allegue that Uber violated the FTC law and the Restore online Shoppers’ Confidence Act.
Costume is one of the first major actions against Big Tech carried out by the FTC de Ferguson under the Trump administration. Like many industry leaders, Uber and its CEO Dara Khosrowshahi have therefore donated $ 1 million, respectively, to Trump’s inaugural fund.
An antitrust action brought by the FTC against the acquisition of Meta of Instagram and WhatsApp is also underway, although this trial was filed before Trump takes up his functions.
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Originally published:
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