FTC, Utah, Nevada Sue Lens.com Over Hidden Fees That Double Lens Prices
Today, the Federal Trade Commission, joined by the attorneys general of Utah and Nevada, sued contact‑lens retailer Lens.com for allegedly charging hidden “Taxes & fees” that double the advertised price and have cost consumers hundreds of millions of dollars. The complaint alleges the fees are concealed below the visible checkout screen, prompting consumers to click “Continue” without seeing the extra charge.
The “Taxes & fees” label suggests a government tax, but many states exempt contact lenses from sales tax or have none, so the charge is not a tax. Lens.com applies the same hidden fee to its AutoRefill subscription plan, which automatically bills consumers for recurring shipments without clearly disclosing the charge before collecting payment information. The complaint cites violations of the FTC Act, ROSCA, GLB Act, Utah CSPA, Utah ARCA, and Nevada DTPA, notes the Commission voted 2-0 to authorize the filing, and says the case was filed in the U.S. District Court for the District of Nevada.
“Lens.com advertised one price for contact lenses but charged a substantially higher price at checkout, deceiving consumers about the cost of this healthcare necessity,” Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection said.
Lens.com has been running a long-running deceptive pricing scheme, according to the complaint. The complaint also notes that the company has used similar tactics in its AutoRefill subscription plan.
What we know
Lens.com’s hidden fees routinely double the price it advertises for contact lenses, costing consumers hundreds of millions of dollars, the joint complaint alleges.
The Commission vote authorizing the staff to file the complaint was 2-0.
The FTC filed the complaint in the U.S. District Court for the District of Nevada.
The FTC, Utah and Nevada allege these practices violate the FTC Act, the Restore Online Shoppers’ Confidence Act (ROSCA), the Gramm-Leach-Bliley Act (GLB Act), the Utah Consumer Sales Practices Act (Utah CSPA), the Utah Automatic Renewal Contracts Act (Utah ARCA) and Nevada Deceptive Trade Practices Act (Nevada DTPA).
Lens.com hides the “Taxes & fees” line item during the checkout process, hiding the line item below the viewable portion of the screen while encouraging consumers to click a prominent “Continue” button to proceed with the checkout process rather than scroll down.