‘Although we dispute the government’s allegations and deny any misconduct, we are pleased to resolve this issue.’ Adobe has announced its agreement to pay $75 million to settle a lawsuit brought by the US government, accusing the software company of complicating subscription cancellations and hiding termination fees, a move intended to address a complaint from June 2024 where Adobe allegedly violated consumer protection laws. Additionally, Adobe will offer $75 million in free services to affected customers, asserting improved transparency in subscription terms and denying any wrongdoing. This settlement coincides with CEO Shantanu Narayen’s announcement of his upcoming resignation after leading Adobe’s transition to subscription models; the court will determine approval of this settlement, amidst an administration noted for its tolerance towards hidden fees.
