Adobe agreed to resolve a 2024 lawsuit by paying $75 million to the US Justice Department and granting $75 million in free subscription services to affected customers. The settlement addresses allegations that the company’s cancellation process obscured early termination fees for annual plans paid monthly. The DOJ and FTC alleged that Adobe deliberately made it difficult for customers to cancel subscriptions and failed to disclose the substantial termination fees required to exit discounted annual plans. The joint complaint highlighted the financial burden on users who canceled after the initial 14-day refund window. In response, Adobe says it has simplified both signup and cancellation procedures, offering full refunds within 14 days of purchase and clearer fee disclosures thereafter. The company’s updated support documentation outlines streamlined steps for managing and terminating plans. The proposed settlement requires court approval before it becomes effective. The agreement coincides with the planned retirement of CEO Shantanu Narayen, who has led Adobe’s shift to a subscription-based model over the past 18 years.