The FTC and eight states say Toast signed up customers for add-ons they did not want and made cancelling hard. Business owners should check their bills.
The Federal Trade Commission and eight states have sued Toast, a company that makes software for restaurants. They say Toast signed some customers up for add-ons they never asked for, hid the terms for cancelling, and kept billing some businesses. Toast says it will vigorously defend itself.
Toast sells software that restaurants use to run their business. The lawsuit centers on how it sold and billed for some services. Officials allege three problems: unwanted add-ons, cancellation terms that were hard to find or understand, and continued charges for some businesses. These are allegations. A court has not ruled on them.
Restaurants and other businesses that use Toast software and payment services are the most directly involved. The broader lesson reaches any owner who pays for software by subscription. Add-ons and renewal terms can sit quietly in a contract, and the charges can keep coming long after anyone stops using the service.
The material so far does not say how many businesses were affected, how much money is involved, or what penalties the government wants. It also does not say whether customers could get refunds. Those details may come out as the case moves forward.
The alert box above lists the steps. In short, review your invoices, read your cancellation terms, put any request to remove charges in writing, and keep watching your statements. Owners who do not use Toast can still use the same checks on other subscriptions.
Review your business software invoices and cancellation terms now, and keep written proof of any request to remove a charge.
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