FTC Sues Hims & Hers Over Deceptive Business Practices and Data Privacy
- At the core of the FTC’s complaint is the allegation that Hims misled users about the destination of their sensitive health information.
- The FTC is increasingly targeting the data-handling habits and business models of digital health firms.
- The legal challenge extends beyond data leaks to the very act of signing up.
The Meta and Snap Data Pipeline
At the core of the FTC’s complaint is the allegation that Hims misled users about the destination of their sensitive health information. The lawsuit claims the company shared private data with third-party platforms, specifically naming Meta and Snap.
It is part of a wider crackdown. The FTC is increasingly targeting the data-handling habits and business models of digital health firms.
Medical Forms as Billing Triggers
The legal challenge extends beyond data leaks to the very act of signing up. The FTC and state attorneys general allege that Hims used medical history forms as a Trojan horse for recurring billing. By completing these forms, consumers were allegedly enrolled in subscriptions that continually renew and bill them for medication—a fact the suit says was obscured from the user.
Once the cycle begins, the lawsuit claims the company makes it difficult for users to cancel.
The Erosion of Clinical Consent
The filing also takes aim at the company’s medical ethics. The lawsuit alleges that the clinical consent process is fundamentally flawed, claiming patients are given virtually no opportunity to review the provider’s recommended treatment, much less consent to it.
Hims & Hers Defends its Model
Hims & Hers hit back on X, dismissing the lawsuit as a bid for publicity rather than a pursuit of consumer safety. The company noted that the FTC’s investigation lasted nearly three years before the suit was filed.
This lawsuit disregards substantial evidence we provided the FTC during its nearly three-year investigation, ignores established state laws and industry standards in telehealth, and contorts the law to try to manufacture claims. This is not enforcement grounded in consumer protection; it is an effort to generate headlines at our expense. We are confident in our position and will vigorously defend ourselves against these baseless claims.
Hims & Hers statement via X
The company maintains its practices are in lockstep with state laws and the prevailing standards of the telehealth industry.