Instacart Settles FTC’s Claim It Deceived Shoppers
Instacart has agreed to pay $60m in refunds to settle allegations brought by the United States Federal Trade Commission (FTC) that the online grocery delivery platform deceived consumers about its membership programme and free delivery offers.
According to court documents filed in San Francisco on Thursday, Instacart’s offer of “free delivery” for first orders was illusory because shoppers were charged other fees, the FTC alleged.
The agency also accused Instacart of failing to adequately notify shoppers that their free trials of its Instacart+ subscription service would convert to paid memberships and of misleading consumers about its refund policy.