SoylentNews

upstart writes:

Uber admits to misleading Australian users about ride cancellation fees:

Uber has admitted to misleading users about ride cancellation fees and Uber Taxi fare estimates in Australia, with the ride-sharing company set to face AU$26 million in penalties for those practices.

Through an investigation by the Australian Competition and Consumer Commission (ACCC), the consumer watchdog uncovered that Uber's rideshare app displayed a cancellation warning to consumers who sought to cancel a ride saying words to the effect of "[y]ou may be charged a small fee since your driver is already on their way", even when consumers were seeking to cancel a ride within Uber's free cancellation period.

Most of Uber's services provide users with a five-minute free cancellation that commences once a driver has accepted the trip wherein users can cancel their ride without incurring a fee.

Uber engaged in this misleading practice for almost four years, from December 2017 and September 2021, with over two million Australian consumers being shown the misleading cancellation warning.

"Uber admits it misled Australian users for a number of years, and may have caused some of them to decide not to cancel their ride after receiving the cancellation warning, even though they were entitled to cancel free of charge under Uber's own policy," said Gina Cass-Gottlieb, who stepped into the role last month as the agency's first woman chair.

In September 2021, Uber amended its cancellation messaging for Uber services across Australia to "[y]ou won't be charged a cancellation fee".

Uber also admitted that its app deceptively displayed an inflated estimated fare range for its Uber Taxi ride option, which allowed users to book a ride with a taxi rather than a rideshare driver.

Original Submission