FTC Sues Specialized Advice Website Operator for Alleged Deceivme

On January 13, 2026, the Federal Commerce Fee introduced that it sued a specialized advice website operator and its CEO, alleging the online service deceives folks looking for knowledgeable recommendation into enrolling in a month-to-month recurring subscription with out acquiring customers’ affirmative consent.

The FTC alleges that the corporate and its founder and CEO falsely declare that buyers can “be part of” the service and get entry to knowledgeable recommendation for as little as $1 or $5.  However when customers enroll to make use of the service, the corporate really enrolls them in a recurring month-to-month subscription costing anyplace from $28 to $125 and instantly fees them this payment, in addition to the $1 or $5 be part of payment, based on the FTC.  The grievance alleges that the corporate continues to cost the subscription payment each month till the patron cancels their subscription.

“(The corporate’s) deceptive pricing techniques obscured the true value of its companies, stopping customers from making an knowledgeable selection on whether or not (the corporate’s) companies have been value it to them,” stated Christopher Mufarrige, Director of the FTC’s Bureau of Shopper Safety. “The FTC is targeted on making certain that on-line sellers transparently value their companies.”

Whereas the corporate supplies restricted details about the required month-to-month subscription on its web site, it doesn’t disclose the phrases clearly and conspicuously as required by the Restore On-line Customers’ Confidence Act (ROSCA), based on the grievance.  Because of this, customers have supplied their bank card data to the corporate with out affirmatively consenting to enroll in an ongoing month-to-month subscription and pay the month-to-month payment, the FTC alleged.

In line with an FTC CID lawyerthe grievance additionally alleges that the corporate and its founder/CEO’s misleading conduct violates ROSCA and the FTC Act.  The grievance seeks a court docket order prohibiting the allegedly violative conduct, a reimbursement for customers harmed by the misleading billing practices, and civil penalties towards the corporate and particular person.