The Federal Trade Commission (FTC), in collaboration with the states of Utah and California, has initiated legal action against Hims & Hers, a telehealth provider, for allegedly engaging in deceptive and unlawful privacy practices.

The complaint, filed in federal court, accuses Hims of failing to adequately disclose that consumers are charged for prescriptions almost immediately after submitting an intake form, despite claims that they would consult with a medical provider first. The FTC argues that this practice misleads consumers and locks them into recurring subscriptions without their informed consent.

Furthermore, the FTC alleges that Hims has made it difficult for consumers to cancel their subscriptions and has misrepresented its commitment to maintaining the privacy of health information. The company is accused of sharing sensitive health data with third-party advertising platforms, including Meta and Snap, contrary to its privacy assurances.

Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection, emphasized the seriousness of the allegations, highlighting the potential harm to consumers who are unaware of their subscription status and the unauthorized sharing of their private health information.

Hims, based in San Francisco, provides telehealth services and prescription medications. The complaint details how consumers are often charged for treatments without proper consultation, and how the company has historically made cancellation processes cumbersome.

The FTC's complaint cites violations of the FTC Act and the Restore Online Shoppers’ Confidence Act, while Utah and California allege breaches of their respective consumer protection laws. The case is now set to be decided in the U.S. District Court for the Northern District of California.