Story updated May 9, 2017 to include statement from Uber. Addition shown in italics below.

Last Monday Washington state Attorney General Bob Ferguson announced that he’d reached an agreement with Uber, prohibiting the ride-sharing service from sending unsolicited text messages to Washington consumers. The attorney general’s office started getting complaints in 2014 from Uber customers who received unsolicited messages, including messages intended for Uber drivers. The customers said they did not know how to stop the messages, and even when they blocked the solicitations, the texts continued to come through.

A glitch in the Uber website caused some consumers to receive multiple text messages. One consumer who filed a complaint received two or three text messages a week for several weeks without opt-out instructions to stop the messages. Another consumer complained that she’d received 15 to 20 unsolicited messages from Uber.

“Receiving text messages you didn’t ask for – and not knowing how to stop them – frustrates consumers,” Ferguson said. “This agreement ensures that consumers control whether they receive messages from Uber.”

In an agreement filed with the King County Superior Court, Ferguson said Uber was using “unfair or deceptive acts or practices, and unfair methods of competition” which violate the Consumer Protection Act, the Telephone Consumer Protect Act and the Commercial Electronic Mail Act. Specifically, Uber was accused of:

1. Failing to make opt-out instructions reasonably available for text messages sent to Washington consumers; and
2. Failing to obtain express consent prior to sending text messages to Washington consumers.

Uber agreed to take and maintain specific actions outlined in the agreement to ensure its compliance with the appropriate regulations. Those actions include getting prior consent before sending text messages to Washington consumers or drivers; maintaining transparent opt-out policies, practices and technologies; posting opt-out instructions on its website and via text message; monitoring its efforts to ensure compliance, and more.

Under the agreement, Uber was ordered to pay $40,000 under the Assurance of Discontinuance to be used by the attorney general’s office to recover the costs and attorney fees incurred in investigating the claims against Uber. As part of the agreement, the state of Washington and Uber agree that acceptance of the discontinuance order does not constitute any admission of fault. The agreement does not limit or prohibit anyone else from seeking legal remedies against Uber for the alleged offenses.

A Seattle-based Uber spokesperson told Subscription Insider the following when asked for a comment on the agreement:

“We are pleased to have resolved the Washington Attorney General’s investigation relating to text messages. Uber fully cooperated with the investigation, and we are already in compliance with the provisions of the Assurance of Discontinuance, which primarily relates to internal controls that Uber has had in place for some time. Uber remains committed to complying with consumer protection laws as we continue to advance innovative solutions in technology and movement,” said the spokesperson.

Last fall Uber launched a subscription-based service called Uber Plus in six cities, including Seattle, Boston, Miami, San Diego, San Francisco and Washington, D.C. This was to be a test run to see if a monthly subscription fee would be palatable to subscribers who use uberX and uberPOOL. A visit to the individual Uber Plus pages by city shows that only two of the listed Uber Plus programs remain today – Boston and Washington, D.C. We received an error message for each of the other four pages.We have contacted Uber to learn more about the current status of the Uber Plus program.

Insider Take:

Local, national and international jurisdictions regulate communications between companies, their customers and prospective customers, and due to anti-spam laws and privacy concerns, these regulations are getting tougher all the time. That’s why it is critical for all companies, including subscription companies, to ensure they are in compliance with all necessary regulations to avoid actions like the Assurance of Discontinuance agreement entered into between Washington state and Uber.

Best practices tell us that we should go one step further, and not just comply but  ensure that our customers, past, present and future, are only receiving communications from us that are necessary (e.g., renewals, payment follow-up, etc.) and desired (upsells, promotions, rewards programs, etc.)

Customers should have the opportunity to opt-out of communications they do not wish to receive, and those policies should be clearly outlined, so the information is readily available when sought out. It is also a good idea to test those opt-out systems periodically to ensure there are no glitches in the system.