New York – In a bold move against tech giants, New York Attorney General Letitia James has filed a lawsuit against Uber Technologies, LLC and Uber USA, LLC (Uber) for their deceptive marketing tactics surrounding the Uber One service.
The lawsuit claims that Uber misled customers by enrolling them in costly subscriptions to its Uber One service without clear consent. Users were promised savings on ride bookings and food deliveries but found themselves locked into monthly payments of $9.99, facing a convoluted process to cancel their memberships.
Attorney General James asserts that Uber’s actions violate both state and federal consumer protection laws. The lawsuit seeks restitution for consumers and a permanent injunction against such deceptive practices.
‘Unwanted subscriptions that are seemingly impossible to cancel are driving up costs for everyday New Yorkers,’ said Attorney General James. ‘Today I am taking action to put an end to Uber’s misleading tactics and get New Yorkers their money back.’
In its promotional materials, Uber promised consumers significant savings with an Uber One subscription, claiming a monthly saving of $25. However, the lawsuit argues that this figure does not account for the ongoing membership fees.
Attorney General James and the coalition also accuse Uber of making it extremely difficult for customers to cancel their subscriptions. The process involves navigating through at least seven different screens with 12 different actions required just to reach the cancellation page, often greeted by last-minute offers to pause or receive discounts instead of ending the membership.
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Key Facts
- State: New York
- Agency: NY AG
- Category: Fraud & Financial Crimes|Cybercrime|Public Corruption
- Source: Official Source ↗
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