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The U.S. Federal Trade Commission (FTC) says it has filed a lawsuit against ride-hailing company, Uber, alleging deceptive practices against consumers and making it difficult to cancel subscriptions.
In the complaint, the FTC says the legal action is in connection with defendants’ false or misleading claims regarding their subscription service.
The FTC also said that it was in connection with the failure of the ride-hailing company to provide simple mechanisms for customers to cancel their subscription service, and their charging of customers without their consent.
The regulators said that in the complaint, filed in a California court, they were seeking monetary relief and a permanent injunction, among other things.
"Americans are tired of getting signed up for unwanted subscriptions that seem impossible to cancel. The Trump-Vance FTC is fighting back on behalf of the American people.
"Today, we are alleging that Uber not only deceived consumers about their subscriptions, but also made it unreasonably difficult for customers to cancel,’’ said FTC chairman Andrew Ferguson.
However the ride-hailing company has expressed disappointment that the FTC chose to move forward with the action,
"We are disappointed that the FTC chose to move forward with this action, U.S. broadcaster CNN cited the company as saying.
"Uber does not sign up or charge consumers without their consent, and cancellations can now be done anytime in-app and take most people 20 seconds or less,” the company said. (dpa/NAN)