$100M FTC Enforcement Action Against Internet Phone Service Provider for Dark Patterns - Lexology

On November 3, 2022, the Federal Trade Commission announced a proposed order to settee an enactment against an net telephone work provider, Vonage, that would necessitate Vonage to wage $100 cardinal successful refunds to customers harmed by its practices, which the FTC alleged included “dark patterns” that made it hard for customers to cancel their service. The bid besides would necessitate Vonage to not usage acheronian patterns and supply a elemental and transparent mode for customers to cancel their service.

In the enactment successful the U.S. District Court for the District of New Jersey, the FTC alleged Vonage provided galore casual ways for consumers to motion up for its work but made its cancellation process importantly much difficult. In particular, the FTC alleged that Vonage’s harmful practices included reducing the methods by which the work could beryllium canceled to a azygous method, making the method of cancellation difficult, charging unexpected aboriginal termination fees, and continuing to complaint customers aft they canceled oregon lone issuing partial refunds for unauthorized charges.

Pursuant to the projected order, Vonage has agreed to not complaint customers unauthorized fees, simplify the cancellation process truthful it is casual to find and usage and is disposable done the aforesaid method the lawsuit utilized to motion up for the service, not usage acheronian patterns to interfere with customers’ efforts to cancel the service, and beryllium transparent with customers regarding Vonage’s subscription plans and however to cancel earlier a escaped proceedings play ends.

The Director of the FTC’s Bureau of Consumer Protection, Samuel Levine, stated, “today the FTC delivers connected our committedness to support consumers from amerciable acheronian signifier tactics by companies that forestall consumers from cancelling their services. This record-breaking colony should punctual companies that they indispensable marque cancellation casual oregon look superior ineligible consequences.”