FTC, Utah and Los Angeles County sue Hims & Hers over subscription billing and health data sharing
Federal and state regulators sued telehealth giant Hims & Hers on July 29 over how it bills subscriptions and shares health data with ad platforms — claims that touch many GLP-1 customers.
The Federal Trade Commission, the State of Utah and Los Angeles County sued Hims & Hers Health, Inc. on July 29, 2026, in federal court in the Northern District of California, alleging the telehealth company shared customers' sensitive health information with advertising platforms and used deceptive subscription billing and cancellation practices [3]. Hims & Hers denied the allegations and said it will "vigorously defend" itself [2]. Company shares fell about 10% on the news [1].
The complaint rests on two main laws: Section 5 of the FTC Act, which bars deceptive and unfair practices, and the Restore Online Shoppers' Confidence Act (ROSCA), which requires companies using auto-renewing "negative option" subscriptions to clearly disclose material terms, get informed consent, and offer a simple way to cancel [3].
What regulators allege
On privacy, the FTC says Hims & Hers shared health information with third-party ad platforms including Meta and Snap in two ways: by sending lists of customers identified by health condition or treatment type for targeted ad campaigns, and through tracking pixels and software development kits embedded on its website that automatically transmitted user actions to advertising companies [3]. Regulators say this conflicted with the company's privacy promises and with marketing — including by celebrity ambassadors and paid influencers — that described the service as "discreet" [3]. The FTC said the practices were inconsistent with the company's stated commitments to protect user health data [1].
On billing, the complaint alleges Hims & Hers did not clearly disclose that it charges consumers for prescriptions almost immediately after they submit an intake form, even though its marketing suggested consumers would consult a medical provider to find a treatment "right for them" [3]. According to the FTC, most customers were not given a provider consultation before being charged [3][1].
On cancellation, the FTC alleges the company advertised monthly or quarterly refill schedules but processed refill charges roughly 10 days earlier than customers would reasonably expect, and required cancellation two days before that early processing date — a window regulators say was easy to miss [3]. The complaint also alleges the cancellation process itself was unreasonably difficult [3][1].
The investigation dates back to October 2023 [1]. In April 2026, the FTC formally communicated its findings to the company and settlement talks began; in May, Hims & Hers disclosed a $15 million probable-loss accrual tied to the matter and warned the final cost could be materially higher, saying it had made a settlement offer without admitting wrongdoing [1]. The lawsuit escalates that dispute with new claims [1].
In its response, the company said the suit "disregards substantial evidence we provided the FTC during its nearly three-year investigation, ignores established state laws and industry standards in telehealth, and contorts the law to try to manufacture claims" [2]. It added that its privacy policy "makes clear that they may choose how their data is used, and that information patients share with their healthcare providers is used only in providing care" [2].
Why it matters for patients
Hims & Hers is one of the largest direct-to-consumer telehealth platforms in the U.S. and a significant player in the GLP-1 weight-loss market, alongside offerings for erectile dysfunction, hair loss and mental health [3]. That means the conduct described in the complaint — charging after an intake form rather than after a consultation, early refill charges, and short cancellation windows — could affect people who signed up for weight-loss subscriptions, not just other product lines.
It is worth being precise about scope: these claims concern billing disclosures, cancellation mechanics and advertising data, not the safety or sourcing of compounded GLP-1 medications. Separate legal fights over compounded weight-loss drugs, including a Novo Nordisk lawsuit, have been reported previously and are not part of this complaint [1].
The privacy allegations also speak to a broader issue for anyone using telehealth websites: information about which health pages you visit, or which condition you sign up to treat, may be transmitted to advertising companies through pixels and SDKs unless a site limits that [3]. Law firm analysis of the case notes that promises of "discretion" or privacy may be treated by regulators as enforceable claims [3].
Nothing has been decided. As the analysis states, a complaint has been filed, the allegations have not been proven, and no court has made any findings of liability [3].
What happens next
The case, FTC et al. v. Hims & Hers Health, Inc., was filed July 29, 2026 in the Northern District of California [3]. No hearing dates, trial schedule, or potential refund or restitution amounts for consumers have been reported in these sources, and it is not yet known whether the earlier settlement talks will resume.
Sources
Semaglutides.org is for information only and is not medical advice. Always talk to a licensed healthcare provider about your own care. Some links to telehealth services are affiliate links, labeled where they appear.