Wondershare Hit with Lawsuit Over Alleged Subscription Auto-Renewal Practices

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A proposed class action alleges the companies behind Wondershare “lure” and “trap” consumers into automatically renewing subscriptions without making proper disclosures or obtaining customer consent before recurringly charging them.

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The 32-page lawsuit challenges the allegedly “deceptive” business practices of Wondershare, a platform that offers subscriptions to video-editing software like Filmora and other photo-editing, graphics creation, PDF management and artificial intelligence services. According to the suit, the platform has violated California’s Automatic Renewal Law (ARL) by failing to provide the terms of its auto-renewing program—including details about its cancellation policy and how to cancel—in a “clear and conspicuous manner” before or after checkout.

The case further contends that Wondershare, in violation of the ARL, does not obtain authorization from consumers before charging them for enrollment, nor does it provide a simple way to cancel.

During the subscription process on Wondershare.com, a consumer is presented with the terms of service on the final “Pay Now” page, the complaint says. However, the terms themselves are not displayed, only hyperlinked, and the surrounding text is presented in small font that is of a similar color to the background, the filing shares.

This is a far cry from the “clear and conspicuous” disclosure required by the ARL, the lawsuit argues.

In addition, Wondershare does not plainly inform consumers that they are enrolling in a program that will automatically renew, the suit claims. For example, an individual who buys a Filmora subscription sees only the vague statement that the offer costs “$59.99/year,” the case adds.

As the complaint tells it, the platform also sends new subscribers receipts after checkout that lack important information required under California’s ARL.

“There is no information regarding the terms of the automatic renewal, no indication that the subscription will continue until cancelled, no information regarding the cancellation policy, and no link or other guidance on how a consumer may cancel their subscription,” the filing contests.

Finally, the lawsuit takes issue with Wondershare’s multi-step cancellation process, which, by law, should be simple and easy for consumers to navigate.

The lawsuit looks to represent anyone in California who was automatically enrolled in a Wondershare product and charged at least one renewal fee by the platform within the applicable statute of limitations period.

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