Tuesday, June 18th 2024

US Government Sues Adobe Over Shady Business Practices: Hidden Fees and Subscriptions Too Hard to Cancel

The United States Federal Trade Commission (FTC) has taken legal action against software giant Adobe and two of its top executives for allegedly deceiving consumers about the actual costs of its popular subscription services and deliberately obstructing cancellations. In a federal court complaint filed by the Department of Justice at the FTC's request, the commission accuses Adobe of obscuring hefty early termination fees and making it excessively difficult for customers to cancel their subscriptions. The complaint alleges that when signing up for subscriptions on Adobe's website, the company steers consumers toward the "annual paid monthly" option, pre-selecting it as the default while burying details about the 50% early termination fee for canceling within the first year. Customers have lodged numerous complaints, saying they were unaware the plan committed them for a full year.

According to the FTC, even when customers did attempt to cancel, Adobe forced them to navigate a bureaucratic maze of web pages, unhelpful customer service reps, dropped calls, and transfers. Some customers who thought they had successfully canceled continued to be charged. Samuel Levine, Director of the FTC's Bureau of Consumer Protection, noted, "Adobe trapped customers into year-long subscriptions through hidden early termination fees and numerous cancellation hurdles." The complaint charges that these deceptive "dark patterns" violate the Restore Online Shoppers' Confidence Act. It names Adobe's President of Digital Media, David Wadhwani, and Vice President Maninder Sawhney as co-defendants for their oversight roles in these shady business practices.
Source: FTC
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34 Comments on US Government Sues Adobe Over Shady Business Practices: Hidden Fees and Subscriptions Too Hard to Cancel

#26
Noyand
Random_UserThe faster they go, or shrink, the faster "pro" crowd will be forced to seek for an option, that respects their rights. And eventually it might bring the "Blender"-like alternative to each product Adobe has currently. Might as well improve the linux adoption, because... why not, if the house got burning anyway.
If they ever go down, I would rather have the software going open source. And I think that many people would push for that as well, for motion design there's nothing around that gives you the QoL of the PS/AI/AE integration. Happier wallet, but a sad workflow
Posted on Reply
#27
trsttte
Thank god for disposable credit cards! Weren't they already sued for this exact thing in past?
Posted on Reply
#29
lexluthermiester
umeng2002What are you gunna do? Use GIMP?
Really? Been living under a rock have we?
Posted on Reply
#31
umeng2002
lexluthermiesterReally? Been living under a rock have we?
Sort of. I've been using a bootleg version of CS5 for the past 13 years.
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#32
GoldenTiger
lexluthermiesterDon't forget Amazon. Ever tried to cancel a Prime membership? Good luck with that.
Yes, and it was very easy. Have things changed?
lexluthermiesterReally? Been living under a rock have we?
What do you mean? Photoshop is still far ahead of everything else and the industry standard. Well worth $120 a year with free version upgrades.
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#33
lexluthermiester
GoldenTigerWhat do you mean?
What I mean is that you are incorrect. There are MANY, in several ways better, alternatives to anything Adobe offers.
GoldenTigerPhotoshop is still far ahead of everything else and the industry standard.
It's competent, sure. Adobe products don't excel at anything. They don't perform very well either, meaning that the Adobe suite does not take full advantage of hardware acceleration. It's fairly pathetic.
GoldenTigerWell worth $120 a year with free version upgrades.
Sure, if you enjoy wasting money. More power too you.
umeng2002Sort of. I've been using a bootleg version of CS5 for the past 13 years.
That's fair, but you're not really the target audience of the topic of article.
Posted on Reply
#34
b1k3rdude
bonehead123hopefully it will remain unscathed,
No, we want them to be scathed and scarred. Otherwise they will never learn.
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