Attorney General Knudsen files lawsuit against Uber for deceptive subscription management practices
HELENA – Montana Attorney General Austin Knudsen filed a lawsuit Monday against Uber, a ridesharing and delivery company, over its unfair and deceptive practices for its subscription service, Uber One.
The lawsuit was filed along with the Federal Trade Commission, 22 states, and the District of Columbia and outlines concerns with the company’s enrollment, billing, and cancellation practices for its Uber One subscription services, which Uber promotes as saving money on rides and deliveries. These practices could be a violation of Montana’s Unfair Trade Practices and Consumer Protection Act and the federal Restore Online Shoppers’ Confidence Act.
“The hoops Uber is requiring Montanans to jump through to cancel their subscriptions are outrageous. Uber’s various attempts to also mislead customers on its free trial subscriptions and the amount of money consumers can save appear to be a violation of state and federal law. As attorney general, I will continue to do what I can to hold businesses accountable for their shady business practices and protect your hard-earned money,” Attorney General Knudsen said.
The lawsuit states that Uber made it extraordinarily difficult to cancel Uber One once enrolled. For example, to cancel a subscription, the customer must navigate through seven screens and take 12 different actions. To cancel a subscription within 48 hours of it ending, the customer must navigate 23 screens and take as many as 32 actions.
Other issues outlined in the lawsuit include Uber’s improper use of negative option marketing tactics when it offered free trial subscriptions – a practice that automatically charges consumers if they do not cancel a free trial; and misleading consumers about the amounts they could save when subscribing to Uber One. Uber also charged consumers before their billing date, including users whose free trial has not yet ended.
The lawsuit, filed in the U.S. District Court for the Northern District of California, seeks restitution, as well as penalties, costs, and an injunction against Uber. The trial is currently scheduled for February 2027.
Alabama, Arizona, Colorado, Connecticut, the District of Columbia, Illinois, Maryland, Michigan, Minnesota, Missouri, Nebraska, New Hampshire, New Jersey, New York, North Carolina, Ohio, Oklahoma, Pennsylvania, Texas, Virginia, West Virginia, and Wisconsin, as well as the District Attorney for Alameda County also joined the lawsuit.
Click here to read the lawsuit.
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