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The Federal Trade Commission is taking action against Care.com (Care), alleging that the child and older adult care gig platform has systematically deceived caregivers who were looking for jobs while failing to give families seeking care a simple way to cancel their paid memberships.
In a federal court complaint, the FTC alleges that Care’s marketing messages about both the number of jobs available on their site and the amount workers could expect to be paid were deceptive.
Care has agreed to a settlement that will require it to turn over $8.5 million to be used to refund consumers harmed by their practices, as well as requiring the company to be able to back up the earnings claims it makes and be honest about the number of jobs available on their site.
An investigation from the Division of Enforcement and the Division of Privacy and Identity Protection found TikTok/ByteDance violated a 2019 consent order for infringing the Children’s Online Privacy Protection Act. The DOJ is bringing a lawsuit on behalf of FTC for flagrantly violating COPPA and violating the 2019 order.
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