FTC & States Broaden Case Against Uber Over Uber One Billing & Cancellation Practices

Key Takeaways

• Expanded Enforcement Action: The FTC has filed an amended complaint against Uber, now joined by 21 states and the District of Columbia, significantly broadening the scope of the case.
• Subscription Consent Allegations: Regulators allege Uber enrolled consumers in its Uber One subscription without clear or meaningful consent, including automatic charges after free trials.
• Unmet Marketing Promises: The complaint claims some users did not receive advertised benefits such as $0 delivery fees or promised monthly savings.
• Cancellation Barriers: Regulators say Uber made cancellation excessively difficult, with some users navigating up to 23 screens and 32 actions to cancel.
• Civil Penalties Sought: The amended filing seeks civil penalties under the Restore Online Shoppers’ Confidence Act and various state consumer protection laws.

Deep Dive

The Federal Trade Commission has widened its legal fight with Uber, filing an amended complaint alongside 21 states and the District of Columbia that accuses the company of enrolling consumers in its Uber One subscription without consent, failing to deliver promised savings, and putting up significant barriers for users who try to cancel.

The amended complaint builds on a lawsuit the FTC filed in April, which targeted Uber’s billing and cancellation practices tied to Uber One, the company’s paid subscription offering. With state attorneys general now formally joining the case, regulators are seeking civil penalties for alleged violations of the Restore Online Shoppers’ Confidence Act as well as state consumer protection laws.

At the center of the case is how Uber marketed and managed its Uber One subscription, which is sold on a monthly or annual basis and promoted as offering benefits such as $0 delivery fees and up to $25 in monthly savings. According to the complaint, many consumers say those savings never materialized. Some report being charged delivery fees despite the promise of $0 delivery, while others say the advertised monthly savings were not realized in practice.

Regulators also allege that consumers were signed up for Uber One without their knowledge or meaningful consent. The amended filing points to complaints from users who signed up for free trials and were charged automatically before the trial period ended, as well as others who say they were billed for the subscription despite never knowingly enrolling at all.

Cancellation is another major focus of the amended complaint. Despite Uber’s claims that customers can “cancel anytime,” regulators allege that the process was designed to be unusually burdensome. According to the filing, some users were required to navigate as many as 23 separate screens and complete up to 32 actions before they could successfully cancel their subscription.

The FTC and the states argue that these practices, taken together, misled consumers and undermined basic consent and transparency requirements for online subscriptions. The amended complaint seeks civil penalties and court orders aimed at stopping the alleged conduct.

The filing does not represent a final determination, and Uber has not admitted to any wrongdoing. The case will now move forward in court, as regulators continue to sharpen their focus on subscription billing, free trial conversions, and cancellation design across digital platforms.

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