FTC Sues Adobe for Allegedly ‘Trapping’ Customers Into Annual Plans

Adobe charged 50 percent of the ‘remaining contract obligation’ in an annual plan for canceling subscriptions, the lawsuit says.

The Adobe logo is displayed on the side of the Adobe Systems headquarters in San Jose, Calif., on Jan. 15, 2010. Justin Sullivan/Getty Images

The U.S. Federal Trade Commission (FTC) filed a lawsuit against tech firm Adobe for allegedly forcing consumers to continue their subscriptions by threatening to impose hefty fees if they tried to cancel the plans.

The lawsuit was filed on June 17 at the U.S. District Court Northern District of California against Adobe and two of its executives. It alleges the company has “harmed consumers by enrolling them in its default, most lucrative subscription plan without clearly disclosing important plan terms.”