On July 28, 2021, Care.com agreed to settle Federal Trade Commission charges that it misled consumers about its background checks and auto-renewed memberships without proper consent. The online marketplace for hiring caregivers was accused of adding fake or expired job listings to exaggerate the volume of potential employment opportunities.
As a condition of the settlement, they will pay $1 million towards customer refunds and implement new policies for obtaining consumer consent regarding auto-renewed memberships. Additionally, they will increase transparency about the platform’s background checks so that users better understand the types of checks performed on potential caregivers.
Care.com settles charges it inflated jobs listings and forced membership renewals
On July 28, 2021, Care.com agreed to settle Federal Trade Commission charges that it misled consumers about its background checks and auto-renewed memberships without proper consent. The online marketplace for hiring caregivers was accused of adding fake or expired job listings to exaggerate the volume of potential employment opportunities.
As a condition of the settlement, they will pay $1 million towards customer refunds and implement new policies for obtaining consumer consent regarding auto-renewed memberships. Additionally, they will increase transparency about the platform’s background checks so that users better understand the types of checks performed on potential caregivers.
