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Toast FTC lawsuit: regulators allege restaurant ‘subscription traps’

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The US Federal Trade Commission and eight states have sued Toast, the restaurant software and payments company. They accuse it of hidden fees, unwanted add-ons and a cancellation process that traps customers. Toast said it will fight the case in court.

The FTC announced the lawsuit on Thursday in a press release . It also published the 71-page complaint , filed in federal court in Northern California. Toast replied in a statement the same day. No court has ruled on the claims.

“Toast failed to honor a number of its promises and instead imposed hidden fees, unauthorized charges and subscription traps that drained the hard‑earned profits of businesses just trying to serve their customers,” said Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection.

The state plaintiffs are Colorado, Florida, Illinois, Iowa, Nebraska, Oklahoma and Utah. California joined through the Los Angeles County Counsel and the San Francisco City Attorney. The FTC commissioners voted 2-0 to file.…

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