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US government accuses Adobe of ‘ensnaring subscribers’

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The US government has taken legal action against software giant Adobe, accusing the company of deceptive practices that violate consumer protection laws. The Federal Trade Commission (FTC) filed a lawsuit alleging that Adobe failed to clearly disclose important terms to customers, such as the year-long commitment of a subscription and the charges associated with early cancellation.

According to the complaint, Adobe’s subscription sign-up process is unclear and can mislead customers into committing to a year-long subscription without fully understanding the terms. The company also allegedly makes it difficult for customers to cancel their subscriptions, leading them through a convoluted process that includes multiple pop-up screens and password re-entry.

In response to the lawsuit, Adobe has denied the allegations and stated that it is transparent about its subscription terms and conditions. The company’s general counsel and chief trust officer, Dana Rao, emphasized that Adobe will fight the claims in court.

The FTC’s director of the Bureau of Consumer Protection, Samuel Levine, condemned Adobe’s practices, stating that the company “trapped customers into year-long subscriptions through hidden early termination fees and numerous cancellation hurdles.” The agency has requested the court to prohibit Adobe from continuing these practices and to impose financial penalties for each violation of the law.

This lawsuit against Adobe is part of a broader effort by regulators to crack down on companies that engage in deceptive practices related to subscription services. The complaint also names two senior executives at Adobe, indicating that the government is holding individuals accountable for their roles in the alleged misconduct.

As the legal battle unfolds, consumers and industry observers will be closely watching to see how the case against Adobe progresses and what implications it may have for other companies that rely on subscription-based sales models.

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