Skip to content
OBLAIDISH NEWS
Shutterstock to pay $35m for hiding cancellation options
TX_148890Policy & Regulation

Shutterstock to pay $35m for hiding cancellation options

Shutterstock will pay $35 million to settle FTC charges that it used dark patterns to obstruct subscription cancellations, with the company required to overhaul its cancellation process and improve disclosure practices.

Shutterstock will pay $35 million to settle Federal Trade Commission (FTC) allegations that it used deceptive design tactics to block users from canceling subscriptions [FTC Press Release]. The FTC found that Shutterstock’s website and mobile app buried cancellation options, required users to navigate multiple screens, and used confusing language—tactics that qualify as dark patterns under federal enforcement guidelines [FTC Press Release].

Under the settlement, announced May 18, 2026, Shutterstock must simplify its cancellation process, making it directly accessible from account settings without forced navigation. The company is also required to provide clear, upfront disclosures about subscription terms, auto-renewal, and cancellation steps—all subject to third-party audits for five years.

The FTC’s action follows a broader crackdown on subscription traps, including cases against Amazon, Weight Watchers, and Hulu. Unlike those cases, this settlement includes specific mandates on interface design, forcing Shutterstock to eliminate misleading buttons and default settings that favored retention over user choice.

Past enforcement shows the FTC is increasingly targeting UX decisions as legal violations, not just policy concerns. Companies that obscure cancellations or add friction to retention workflows now face measurable risk—not just fines, but mandated redesigns.

operator_channel
[ comments_offline · provider_not_configured ]
transmission_log

Subscribe to the broadcast.

Daily digest of the day's most important tech news. No fluff. Engineering signal only.

// delivered via substack · double-opt-in confirmation