Uber deceiving customers about $9.99 Uber One service, making it hard to cancel: FTC lawsuit

New York Post - Apr 21st, 2025
Open on New York Post

The Federal Trade Commission (FTC) has filed a lawsuit against Uber Technologies, accusing the company of enrolling some users into its Uber One subscription service without their knowledge and making misleading claims about the benefits of the service. The service, which costs $9.99 a month, promises discounts on Uber's ride-hailing and food delivery apps. The FTC's lawsuit, filed in San Francisco, highlights that Uber falsely assured users they would save approximately $25 monthly and portrayed the cancellation process as easier than it actually is. FTC Chairman Andrew Ferguson emphasized the agency's commitment to protecting consumers from unwanted subscriptions. Uber's spokesperson, Noah Edwardsen, expressed disappointment with the FTC's action, asserting that the company's processes comply with legal standards.

This lawsuit marks another clash between Uber and the FTC, as the company has faced similar challenges in the past. In 2017, Uber settled allegations of deceptive privacy and data security claims, and in 2018, it paid $20 million to resolve claims of exaggerating potential earnings to recruit drivers. Additionally, Uber settled a case in 2022 involving a 2016 data breach affecting millions. The current legal battle could have significant implications for Uber's business practices and consumer trust, highlighting ongoing regulatory scrutiny in the tech sector regarding consumer protection and corporate transparency.

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RATING

7.4
Fair Story
Consider it well-founded

The article provides a comprehensive overview of the FTC's lawsuit against Uber, presenting factual and balanced information about the allegations and Uber's response. It effectively highlights key issues of public interest, such as consumer protection and corporate accountability. The story is timely and relevant, with the potential to influence public opinion and spark policy discussions. While the article is generally clear and well-structured, it could benefit from additional transparency regarding the evidence behind the claims and more diverse perspectives to enrich the narrative. Overall, it is a reliable and informative piece that engages readers on important topics.

RATING DETAILS

8
Accuracy

The story accurately reports the FTC's lawsuit against Uber, including specific allegations such as deceptive sign-ups and misleading claims about the Uber One service. The factual claims regarding the cost of the service ($9.99 per month) and the alleged savings ($25 per month) are consistent with the FTC's lawsuit. However, the story could enhance accuracy by providing more detailed evidence or examples of the alleged deceptive practices. The past FTC settlements mentioned are also accurate, aligning with historical records of Uber's legal challenges. Overall, the article provides a truthful account of the situation but lacks in-depth evidence to fully substantiate the claims.

7
Balance

The article presents a balanced view by including statements from both the FTC and Uber, offering perspectives from both the accuser and the accused. The FTC's allegations are countered by Uber's denial and defense of its practices, providing readers with a comprehensive view of the dispute. However, the story could benefit from additional perspectives, such as customer testimonials or expert opinions on subscription practices, to further enrich the narrative and provide a fuller picture of the issue.

8
Clarity

The language and structure of the article are clear and straightforward, making it easy for readers to follow the key points and understand the dispute between the FTC and Uber. The article maintains a neutral tone, avoiding sensationalism, which aids in presenting the facts objectively. However, the story could benefit from a more detailed breakdown of the allegations and defenses to enhance comprehension further.

8
Source quality

The primary sources in the article are credible, featuring statements from FTC Chairman Andrew Ferguson and Uber spokesperson Noah Edwardsen. These are authoritative figures who provide direct insights into the positions of their respective organizations. The article could improve by incorporating third-party expert analysis or independent verification of claims to bolster the reliability of the information presented.

6
Transparency

The article clearly states the allegations and responses, but it lacks depth in explaining the methodology behind the FTC's claims or Uber's defense. There is limited disclosure of how the FTC gathered evidence or how Uber ensures compliance with legal standards. Greater transparency in these areas would enhance readers' understanding of the basis for the claims and defenses.

Sources

  1. https://www.ftc.gov/system/files/ftc_gov/pdf/uberonecomplaint.pdf