Adobe has agreed to a $150 million settlement with the U.S. Department of Justice that ends a legal dispute about how the company handled subscription sign-ups and cancellations. The agreement includes a $75 million payment to the government and another $75 million in free services that Adobe will provide to customers who qualify for compensation.
The case focused on Adobe’s subscription cancellation process and how clearly the company explained the terms of its plans. Government lawyers argued that some customers faced problems when they tried to cancel their subscriptions. Adobe said it disagrees with those claims but decided to resolve the issue through a settlement.
In a statement, Adobe said the company finalized an agreement with the Department of Justice to end the lawsuit filed in June 2024 and confirmed that it will offer $75 million in free services to eligible users while also paying $75 million to the DOJ.
Adobe said it will contact customers who qualify for the compensation once the court accepts the settlement filings. The company plans to provide free services as part of the agreement, although it has not yet explained how those services will be delivered.
The company also repeated that it believes its subscription terms remain clear and that users already have a simple cancellation process. At the same time, Adobe acknowledged that it has made changes in recent years to make sign up and cancellation steps more transparent for customers.
