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Industry · Digital Camera World
Mar 16, 7:28 PM

Adobe’s cancellation policy just cost it $150 million. Photoshop, Lightroom quitters may be entitled to free software

Adobe Editing Cameras
Adobe’s cancellation policy just cost it $150 million. Photoshop, Lightroom quitters may be entitled to free software

Summary

Adobe has agreed to a $150 million settlement with the Department of Justice to resolve a lawsuit concerning its subscription cancellation policies. The agreement, pending court approval, includes a $75 million fine and $75 million in free software for affected customers. The lawsuit alleged that Adobe's early termination fees and cancellation procedures were not clearly disclosed and were unnecessarily complicated. Adobe denies wrongdoing but will now be required to clearly disclose fees, send trial reminders, and simplify cancellations.

Key points

  • Adobe to pay $75 million fine and provide $75 million in free software.
  • Settlement addresses unclear cancellation policies and early termination fees.
  • Adobe must improve transparency in subscription sign-up and cancellation processes.
  • Affected customers will be proactively contacted by Adobe regarding free services.
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