Canceling a software subscription is supposed to be easy—that’s what US law dictates. Adobe, however, has played fast and loose with its Creative Cloud subscriptions in the past. The company was sued by the Department of Justice in 2024 due to its practice of hiding hefty termination fees when customers signed up. The case has now been settled, with Adobe agreeing to a $75 million fine and matching free services to users of its products.
Turning software into a monthly subscription is all the rage these days, but Adobe was way ahead of the curve. The company began offering its suite of editing tools, like Photoshop and Illustrator, as a monthly subscription back in 2013, and most of its customers migrated to the new system.
It was easy for Adobe to get away with that shift because CS6, the last perpetual license offered for its editing tools, started at $700 and went up to more than $2,600 for all apps. By contrast, paying between $10 and $70 per month seems like a good deal, and it might be in the short term. Although anyone who has been paying monthly since the change has spent thousands of dollars on Adobe software. And when people noticed that and decided they wanted to cancel, many of them were frustrated with the outcome.
Core to the government’s complaint was Adobe’s practice of hiding cancellation fees for its subscriptions in the fine print or behind hyperlinks. Adobe charges 50 percent of the remaining subscription term when you cancel, which can be hundreds of dollars on annual plans. In addition, the company used labyrinthine phone trees to make canceling more difficult.
Source: arstechnica.com
