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Adobe to pay $75M to settle US lawsuit over hard-to-cancel subscriptions

2 days ago
  • #Subscription
  • #Lawsuit
  • #Adobe
  • Adobe agrees to pay $75 million to settle a US government lawsuit.
  • The lawsuit accused Adobe of making subscription cancellations difficult and not disclosing termination fees clearly.
  • The US Department of Justice filed the complaint in June 2024, alleging violations of federal consumer protection laws.
  • Adobe's 'annual paid monthly' plans allegedly lacked proper disclosure of key terms.
  • Customers faced an 'onerous and complicated' cancellation process.
  • Some customers were hit with unexpected early termination fees.
  • An Adobe executive reportedly compared the fees to 'heroin for Adobe.'
  • Adobe denies wrongdoing but agrees to the settlement to resolve the case.
  • The company will also provide $75 million worth of free services to affected customers.
  • Adobe claims it has improved transparency around subscription terms and cancellations in recent years.