The FTC said Uber failed to clearly and prominently disclose all important terms to its customers before obtaining billing information.
The FTC alleged that the company “failed to bill consumers for Uber One’s subscription services without consent and offer promise savings, making it difficult for users to cancel the service despite being “cancelled at any time.” ”
Rosca requires online retailers to clearly disclose their terms of service, secure customer consent before charging customers for services, and provide an easy way to cancel repeat subscriptions.
“Americans are tired of signing up for unwanted subscriptions that they think are impossible to cancel,” said FTC Chairman Andrew N. Ferguson. “The Trump Vance FTC is fighting back on behalf of the Americans.”
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Uber has rejected the FTC claim in an emailed statement to the Epoch Times.
A company spokesperson said Uber would not sign up or charge customers without consent, saying that its subscription can be cancelled anytime via the app, and that most people will take less than 20 seconds.
The lawsuit claimed that Uber had requested counts of misrepresentation “directly or indirectly, expressly or implied.”
“Consumers cannot cancel “at any time” without charging additional fees,” the complaint alleges.
An Uber spokesperson said the process has been changed. In the previous example, customers who wanted to cancel within 48 hours of the next billing period had to contact support to proceed with the cancellation.
“This is no longer true. Consumers can cancel at any time via the app. We have refunded customers who contacted Uber Support to cancel within 48 hours of the next billing period,” the spokesman added, “Cancelled consumers never charged additional fees.”
The FTC said Uber was unable to “clearly and prominently disclose” all important terms to its customers before obtaining billing information.
This includes disclosures such as how to register for a recurring billing plan, how to cancel, and in the case of billing and billing, how much money users will save by subscribing to the Uber One service.
A company spokesman said signing up for one Uber subscription “indicates material disclosure on the same screen as the option to choose a payment method.” This includes consumers being billed regularly for payment methods for Uber’s files and being able to cancel up to 48 hours before the next billing date to avoid any claims.”
Customer complaints
The FTC has given several examples of Uber that are allegedly misleading.
For example, if a customer signs up for one service, they will have a “mistaken” savings of $25 a month. According to FTC, the company does not take into account the cost of subscriptions.
Many customers said they were registered with one service without consent, but one said they were charged even if they didn’t have an Uber account, the FTC allegedly said.
Uber is said to have made it “very difficult” for customers to cancel their subscriptions.
An Uber spokesperson said the company was “disappointed that the FTC chose to proceed with the lawsuit,” but the court believes it will be on the side of the company.
“Uber’s sign-up and cancellation process is clear and simple and follows the letters and spirit of the law,” the spokesman said.
