The Federal Trade Commission, along with Utah and California through Los Angeles County Counsel, sued Hims & Hers on Jul. 29, alleging that the telehealth provider shared consumers’ sensitive health information with third-party advertising platforms despite claiming to protect user privacy and misled users about billing and cancellation practices.
According to a complaint filed in federal court, the FTC and its state partners said Hims & Hers charges consumers for prescriptions almost immediately after they submit an intake form, even though the company claims consumers will be able to consult with a medical provider first. The FTC also said that most consumers do not receive a consultation before being charged or enrolled in recurring subscription plans for prescription treatments. The complaint further alleges that Hims makes it difficult for users to cancel subscriptions by hiding cancellation options online.
Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection, said, “The FTC’s complaint lays out a troubling scenario—consumers unknowingly locked into recurring subscriptions and the disclosure to third parties of consumers’ most private health information without their consent. The FTC will not hesitate to act on behalf of consumers deprived of their ability to choose which products they want and whether to keep their most sensitive health information private.”
San Francisco-based Hims provides telehealth services and direct-to-consumer prescription medications for certain conditions. Consumers interested in these services must fill out an online intake form before obtaining treatment. In advertisements and on its website, Hims has claimed that users can consult with a medical provider before being prescribed medication; however, according to the complaint, billing occurs as soon as forms are submitted.
The complaint states that prior to 2023 most cancellations required contacting customer service via phone or email. After introducing online cancellation in 2023 for most customers, the process remained difficult due to hidden buttons requiring multiple steps before seeing cancellation options. The FTC also alleges that Hims shared consumer health data with Meta, Snap, and other advertising platforms through customer lists and tracking technologies despite assurances about privacy protection.
The Commission vote authorizing staff to file the complaint was 2-0. The case is pending in U.S. District Court for the Northern District of California.