Former MoviePass Execs Settle FTC Allegations of Deceptive Practices, Failure to Protect Customer Data

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MoviePass has been dead for nearly two years. But the execs behind ill-fated company have only just reached a settlement with the Federal Trade Commission over charges that they misled customers an…

In its complaint, the FTC alleged that MoviePass — along with Lowe and Farnsworth — deceptively marketed its “one movie per day” service promised to subscribers who paid for its $9.95 monthly service. The FTC alleges that MoviePass employed three tactics to prevent subscribers from using the service as advertised.

“MoviePass and its executives went to great lengths to deny consumers access to the service they paid for while also failing to secure their personal information,” Daniel Kaufman, acting director of the FTC’s Bureau of Consumer Protection, said in a statement. “The FTC will continue working to protect consumers from deception and to ensure that businesses deliver on their promises.”

 

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