The Federal Trade Commission (FTC) has accused software giant Adobe of deceiving consumers by hiding fees and making it difficult to cancel subscriptions, a practice that has significant implications for freelancers who rely on Adobe’s suite of creative tools.
According to the FTC’s report, Adobe steered customers towards an “annual paid monthly” plan without adequately disclosing that cancelling early could trigger a hefty termination fee. This lack of transparency is particularly concerning for freelancers who often work on project-based contracts and might need to scale their software use up or down accordingly.
When people signed up on Adobe’s website for access to its software, the FTC says Adobe pre-selected the option for its “annual paid monthly” plan that put subscribers on the hook for a whole year of payments, paid in monthly increments — a fact that Adobe failed to explain or properly disclose.
The lawsuit says Adobe used similar tactics when people signed up for a free trial and didn’t cancel before the trial ended. Adobe automatically placed them on the “annual paid monthly” plan without making it clear they were entering a one-year contract.
When people tried to cancel before the year was up, they had to pay a hefty early termination fee, which reportedly was hidden during the signup process.
Why is it so tricky to cancel Adobe?
The FTC explains that the fee, along with other hurdles Adobe uses in its cancellation processes, “made it difficult to cancel the subscription.”
In fact, some subscribers had contacted customer service even thought they had successfully cancelled, only to find out later that Adobe was still charging them.
The FTC’s case should serve as a warning to freelancers who are considering subscription plans. It’s essential to read the fine print carefully and understand all associated costs, including cancellation fees. The FTC’s complaint highlights the importance of transparency and consumer protection in the digital marketplace.
For freelancers, the cost of software is a significant business expense. It’s crucial to choose tools that offer fair and transparent pricing without locking you into lengthy contracts with hidden fees.
This case is a reminder to always be vigilant and advocate for your interests as a consumer.
Here is what the FTC suggests:
When you’re thinking about a subscription:
- See what others are saying online. Search for the company’s name and the word “subscription” plus words like “complaint,” “problem,” “cancel,” and “fee” to see if people are having trouble with their subscription.
- Check the terms and conditions for free trial offers. If the subscription includes auto-renewals, you’ll be charged unless you cancel before the end of the free trial period.
