Match Group Settles FTC Lawsuit for $14 Million Over Deceptive Practices
In a significant development, the U.S. Federal Trade Commission (FTC) has reached a settlement with Match Group, the company behind popular dating apps like Match, Tinder, and OkCupid, among others. The settlement, amounting to $14 million, comes after the FTC sued Match Group in 2019 for allegedly misleading users into purchasing subscriptions through deceptive means.
The FTC announced the settlement on Tuesday, highlighting that the $14 million will be used to provide restitution to affected consumers. The lawsuit accused Match Group of engaging in practices that put users at risk of being scammed, including sending marketing emails about messages from likely bots or scammers to prompt subscription purchases.
One of the key allegations against Match Group was that it locked users out of their accounts when they tried to dispute charges, effectively keeping their money without providing the services paid for. The company was also accused of making it challenging for users to cancel their subscriptions, further exacerbating the issue.
As part of the settlement, Match Group is required to take specific actions to address these issues. This includes clearly outlining the details of their six-month guarantee, preventing adverse actions against customers who raise billing concerns, and simplifying the subscription cancellation process for users.
The settlement comes at a time when Match Group has been under scrutiny for its handling of trust and safety matters. By implementing the terms of the settlement, the company aims to enhance the user experience and regain consumer trust.