The US government is suing Adobe for allegedly deceiving customers with hidden fees and making it difficult to cancel subscriptions.
The Department of Justice claims Adobe enrolls customers in its most lucrative subscription plan without clearly disclosing important plan terms.
Adobe allegedly hides the terms of its annual, paid monthly plan in fine print and behind optional textboxes and hyperlinks.
The company fails to properly disclose the early termination fee, which can amount to hundreds of dollars, upon cancellation.
The cancellation process is described as “onerous and complicated”, involving multiple webpages and pop-ups.
Customers who try to cancel over the phone or via live chats face similar obstacles, including dropped or disconnected calls and having to re-explain their reason for calling.
The lawsuit targets Adobe executives Maninder Sawhney and David Wadhwani, alleging they directed or participated in the deceptive practices.
The federal government began investigating Adobe’s cancellation practices late last year.
Adobe’s subscription model has long been a source of frustration for creatives, who feel forced to stay subscribed to continue working.
Recently, Adobe’s new terms of service were met with backlash, with some users interpreting the changes as an opportunity for Adobe to train its AI on users’ art.
The company has also faced regulatory scrutiny in the past, including antitrust scrutiny from European regulators over its attempted $20 billion acquisition of product design platform Figma in 2022, which was ultimately abandoned.
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