US sues Uber over alleged deceptive subscription practices

• Published On: 23 April 2025 at 06:04

The US Federal Trade Commission has filed a lawsuit against Uber Technologies Inc., accusing the ride-hailing company of enrolling clients in its Uber One subscription program without their knowledge and misleading users about potential savings and ease of cancellation.

The lawsuit, filed Monday in a federal court in San Francisco, alleges that Uber overstated the benefits of Uber One, a $9.99-per-month subscription that includes discounts on rides and food deliveries. According to the FTC, the firm inflated prospective savings—allegedly stating users would save roughly $25 per month—and hid the cancellation process.

"Americans are tired of getting signed up for unwanted subscriptions that seem impossible to cancel," said FTC Chairman Andrew Ferguson. "The Trump-Vance FTC is fighting back on behalf of the American people."

Uber has refuted the charges. Noah Edwardsen, the company's spokesperson, stated, "We are disappointed that the FTC chose to move forward with this action, but are confident that the courts will agree with what we already know: Uber One's sign-up and cancellation processes are clear, simple, and follow the letter and spirit of the law."

This is not the first time Uber has faced regulatory scrutiny. In 2017, the corporation paid FTC accusations related to false promises about privacy and data protection.

A year later, it paid $20 million to settle allegations that it exaggerated earnings predictions to attract drivers.

In 2022, Uber avoided criminal charges after agreeing to failing to disclose a large 2016 data breach that affected 57 million users and drivers.