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US FTC and States Expand Suit Accusing Uber of Deceptive Subscription Practices

By  |  December 16, 2025

U.S. regulators escalated their legal challenge against Uber on Monday, with the Federal Trade Commission and a coalition of 21 states, along with the District of Columbia, filing an amended complaint that accuses the ride-hailing company of misleading consumers over billing and cancellation practices tied to its subscription service, according to Reuters.

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    The revised lawsuit was submitted to the U.S. District Court for the Northern District of California and builds on allegations first raised by the FTC earlier this year. Regulators claim Uber improperly charged customers for subscriptions without clear consent, failed to provide advertised benefits, and made it unnecessarily hard for users to cancel, per Reuters. The FTC initially sued Uber in April over similar concerns, but the updated filing broadens the scope of the alleged misconduct.

    At the center of the case is Uber One, a subscription offered on a monthly or annual basis that promotes incentives such as zero-dollar delivery fees and savings of up to $25 per month. However, the FTC said many customers reported being charged delivery fees despite those promises and did not see the savings they were led to expect, according to Reuters.

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    Related: Hong Kong Moves to Regulate Uber and Other Digital Transport Platforms

    The complaint also alleges that some users were enrolled in Uber One without realizing it, including individuals who signed up for free trials and were later billed before those trials expired. Uber has denied the accusations, stating that it does not enroll or charge consumers without permission, per Reuters.

    In addition to billing concerns, regulators criticized Uber’s cancellation process. The amended filing describes the process as “exceedingly difficult,” alleging that users were required to navigate as many as 23 screens and complete up to 32 separate steps to end their subscriptions, according to Reuters.

    Uber pushed back on those claims in an emailed statement. “The majority of cancellations take 20 seconds or less and can be done in the app anytime,” the company said. It added, “Prior to December 2024, as explained during sign up, consumers within 48 hours of their next billing period had to contact Support in order to cancel.”

    The amended complaint seeks civil penalties for alleged violations of the Restore Online Shoppers’ Confidence Act as well as various state consumer protection laws. States participating in the case include California, New York, Texas and Illinois, according to Reuters.

    Source: Reuters