Chegg—Chegg agreed to pay $7.5 million FTC settlement for making subscription cancellation difficult
· $7.5M
In September 2025, Chegg agreed to pay $7.5 million to settle FTC allegations that it failed to provide simple cancellation methods and continued charging customers after they requested cancellation. The settlement affected approximately 200,000 consumers since October 2020.
Scoring Impact
| Topic | Direction | Relevance | Contribution |
|---|---|---|---|
| Consumer Protection | -against | primary | -1.00 |
| Overall incident score = | -0.221 | ||
Score = avg(topic contributions) × significance (high ×1.5) × confidence (0.59)× agency (compelled ×0.25)
Evidence (1 signal)
Confirms Legal Action Sep 1, 2025 verified
FTC announces $7.5 million Chegg settlement for cancellation violations
FTC settlement requires Chegg to pay $7.5 million for unlawful cancellation practices affecting ~200,000 consumers.