The Federal Trade Commission (FTC) has initiated legal action against JustAnswer LLC and its CEO, Andrew Kurtzig, for allegedly misleading consumers into signing up for a monthly subscription service without their affirmative consent. JustAnswer operates various online platforms, including JustAnswer.com and specialized advice sites.

The FTC claims that JustAnswer misrepresents its pricing, advertising a low initial fee of $1 or $5 to join, while actually enrolling consumers in a recurring subscription that costs between $28 and $125 per month. This fee is charged immediately alongside the initial fee, and consumers continue to be billed monthly until they cancel.

According to FTC officials, the company's pricing tactics obscure the true cost of its services, hindering consumers' ability to make informed decisions. The complaint highlights that JustAnswer fails to clearly disclose the terms of the subscription as mandated by the Restore Online Shoppers’ Confidence Act (ROSCA), leading consumers to unknowingly provide their credit card information.

The FTC's complaint alleges violations of ROSCA and the FTC Act, seeking a court order to stop the deceptive practices, refunds for affected consumers, and civil penalties against JustAnswer and Kurtzig. The case has been filed in the U.S. District Court for the Northern District of California, following a unanimous vote by the Commission.