(RTTNews) - Adobe Inc. (ADBE), the software and cloud services company, announced on Friday that it has finalized a settlement agreement with the United States Department of Justice to resolve litigation filed in June 2024. The case concerned Adobe's disclosure and subscription cancellation practices.
Under the settlement terms, Adobe agreed to provide $75 million worth of free services to eligible customers and make a separate $75 million payment to the Justice Department. The company stated it will contact affected customers after the court filings are completed and accepted.
While Adobe disagrees with the government's claims and denies any wrongdoing, the company welcomed the settlement as a resolution of the matter.
Adobe's subscription model is designed to offer flexible pricing, continuous product updates and cloud-based features, while maintaining transparent cancellation terms for its customers.
ADBE is currently trading at $251.79, down $17.99 or 6.67 percent on the Nasdaq.
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