The U.S. Federal Trade Commission (FTC) has filed a lawsuit against Uber, accusing the multinational tech company of deceptive practices involving unauthorized charges and misleading processes related to ride cancellations. The lawsuit was filed on Monday, April 21, according to a report by the BBC.
The FTC alleges that Uber charged customers for its “Uber One” subscription service without their consent and made it deliberately difficult for users to cancel their memberships. The complaint highlights that the cancellation process could involve as many as 23 to 32 steps in some cases.
FTC Chairman Andrew Ferguson stated, “The agency is fighting on behalf of the American people.”
Uber has denied the allegations. Company spokesperson Ryan Thornton responded that Uber is disappointed with the FTC’s decision to pursue legal action. He added that users can now cancel their subscriptions directly through the app at any time, and most are able to do so in under 20 seconds.
Launched in 2021, Uber One is a subscription service offering customers benefits such as free deliveries and discounts on select rides and orders. The service is priced at $9.99 per month or $96 annually and renews automatically unless canceled.
This lawsuit marks the FTC’s first major legal action against a U.S. tech company under President Donald Trump’s second term. A previous case against Meta (formerly Facebook), initiated during Trump’s first term, is still ongoing.