The Federal Trade Commission is investigating Uber over whether it broke consumer protection laws by allegedly automatically signing people up for its Uber One subscription service and making it hard to cancel, according to Bloomberg News.
The investigation was opened earlier this year after the FTC received customer complaints. Uber told Bloomberg that its cancellation process “follows both the letter and the spirit of the law” and claimed customers can cancel in 20 seconds or less.
The FTC has been pushing companies with subscription services to make them easier to cancel lately. In October, the commission finalized a so-called “click-to-cancel” rule that could impact everything from streaming services to gym memberships. But the rule is already being challenged in court.
In the days after Donald Trump won the presidential election, the FTC reportedly tried to get Uber to agree to a settlement — which Uber’s lawyers apparently characterized as involving an “enormous monetary amount.”
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