Adobe to pay $75 million to resolve US lawsuit over fees, subscription cancellations
· CNA · JoinRead a summary of this article on FAST.
Get bite-sized news via a new
cards interface. Give it a try.
Click here to return to FAST Tap here to return to FAST
FAST
March 13 : Adobe said on Friday it will pay $75 million to resolve a U.S. government lawsuit accusing the Photoshop and Acrobat maker of harming consumers by concealing hefty termination fees and making it difficult to cancel subscriptions.
The San Jose, California-based company said it will also provide $75 million of free services to customers, in addition to making the $75 million payment to the U.S. Department of Justice.
Court approval is required, and Adobe denied wrongdoing in agreeing to settle.
In a June 2024 complaint, the Justice Department and Federal Trade Commission accused Adobe of burying termination fees that could reach hundreds of dollars in the fine print for its "annual paid monthly" subscription plan, or behind textboxes and hyperlinks.
They also said Adobe forced subscribers who wanted to cancel online to wade through numerous pages, and subscribers who wanted to cancel by phone to repeat themselves to multiple representatives and encounter "resistance and delay" from them.
Newsletter
Week in Review
Subscribe to our Chief Editor’s Week in Review
Our chief editor shares analysis and picks of the week's biggest news every Saturday.
Sign up for our newsletters
Get our pick of top stories and thought-provoking articles in your inbox
Get the CNA app
Stay updated with notifications for breaking news and our best stories
Get WhatsApp alerts
Join our channel for the top reads for the day on your preferred chat app