Shutterstock will pay $35 million to settle Federal Trade Commission allegations regarding deceptive subscription and cancellation practices. The agency claims the company failed to clearly disclose plan terms since at least 2020. These tactics allegedly forced customers into automatic renewals without their informed consent.
The FTC filed the complaint in federal court, alleging Shutterstock made cancellations difficult and applied undisclosed fees. The $35 million settlement will provide refunds to affected consumers.
The agreement requires Shutterstock to obtain explicit consent before charging customers. The company must also implement a simplified cancellation process and maintain transparent service terms.