The Federal Trade Commission filed an amended complaint against telehealth provider Hims and Hers, adding five states as co-plaintiffs in a lawsuit over alleged deceptive privacy and billing practices. The amended complaint includes Arizona, Florida, Nebraska, Ohio and Wisconsin, joining the initial partners Utah and California, according to the FTC.
The agency claims the company shared sensitive consumer health information with third-party advertising platforms, including Meta and Snap. The FTC said the data sharing occurred despite the provider claiming its services maintain consumer privacy. The lawsuit alleges the company violated the FTC Act, the Restore Online Shoppers’ Confidence Act and multiple state consumer protection laws.
The complaint alleges that Hims and Hers misleads users about its billing and subscription cancellation practices. According to the FTC, the company does not plainly state that users are billed for medication right after filling out initial paperwork. The agency said the company tells consumers they can speak with a healthcare professional to identify an option that is “right for them,” but bills them early and makes it difficult to cancel subscriptions.
The FTC and its original state partners first brought the allegations against the company in July. A 2-0 Commission vote authorized staff to file the amended complaint in the U.S. District Court for the Northern District of California, the agency said.
The FTC noted that it files a complaint when it has reason to believe defendants are violating or are about to violate the law, and when a proceeding is in the public interest. The case will ultimately be decided by the court, the agency stated.