Adobe has been investigated by the FTC after users complained about difficulty canceling subscription services.

According to news from this site on December 14, the U.S. Federal Trade Commission (FTC) has begun an investigation into Adobe because some consumers complained that "it is very difficult to cancel Adobe's subscription services."

Source Pexels

According to Adobe’s regulatory filings with the U.S. Securities and Exchange Commission (SEC), the company may As a result, we face fines or other penalties, so there may be a revenue impact

Since June 2022, we have been cooperating with the staff of the Federal Trade Commission in response to a civil investigative request. We are committed to providing information on disclosure and unsubscription options related to the Restoring Online Shopper Confidence Act

In November 2023, FTC staff stated that they were prepared to enter negotiations to determine whether these An investigation into the matter resulted in a settlement.

We believe our practices are consistent with the law and are currently in discussions with FTC staff. The defense or resolution of this matter could involve substantial fines and could have a material impact on our financial results and operations.

In fact, this has always been a hot issue of concern to the US Federal Trade Commission (FTC). As early as March, the regulatory agency proposed "click-to-cancel" regulations and clarified the rules that companies should implement

The FTC believes that users need a simple cancellation mechanism: if consumption If consumers can’t opt ​​out of a subscription plan at any time, a “negative option” is simply a way to continue charging for a product they no longer want.

To solve this problem, the FTC’s proposed new rules require companies to “make it as easy to cancel a subscription as it is to start a subscription.” For example, if users can sign up online, they must be able to do so on the same website with the same Steps to cancel (subscribe).

In addition, the FTC also requires companies to provide users with "new requirements regarding reminders and confirmations." Simply put, it requires sellers to send reminders to consumers before a certain subscription service automatically renews; the TFC also requires sellers to User consent must be obtained first when promoting "additional offers" to consumers. If the seller hears "No", it means that he must immediately cancel the subsequent process.

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