FTC Sues Hims & Hers for Allegedly Sharing Sensitive Patient Data With Ad Platforms
The Federal Trade Commission (FTC) has filed a lawsuit against telehealth provider Hims & Hers, accusing the company of violating user privacy by sharing sensitive health information with third-party advertising platforms.
The Federal Trade Commission (FTC) has initiated legal action against the telehealth provider Hims & Hers, alleging that the company improperly shared sensitive patient health information with third-party advertising platforms, including Meta and Snap. The lawsuit, filed on Wednesday, claims that Hims & Hers violated its own privacy promises by disclosing this data, which included details about users' medical conditions.
According to the FTC's press release, Hims & Hers provided "sensitive health information about medical conditions" to advertising platforms by sharing lists of specific customers. Furthermore, the company allegedly used "third-party tracking technologies" on its website, which disclosed the actions of its visitors, thereby exposing their data.
Hims & Hers, a San Francisco-based company, offers direct-to-consumer prescription medications and telehealth services, with many patients seeking treatment for sensitive issues such as sexual health and mental health. The company requires users to complete an online form, which is then reviewed by a medical provider, before they can receive treatment.
The FTC contends that these actions constitute violations of the FTC Act, which prohibits unfair and deceptive business practices. The lawsuit has the support of both Utah and California, which have joined the federal agency in bringing the complaint.
A spokesperson for Hims & Hers issued a statement asserting that the lawsuit "disregards substantial evidence we provided the FTC during its nearly three-year investigation, ignores established state laws and industry standards in telehealth, and contorts the law to try to manufacture claims." The company accused the FTC of prioritizing headlines over genuine consumer protection.
Hims & Hers maintains that its privacy policy informs users about how their information is handled and that customers have the necessary information to make informed decisions about their care. The company also highlighted its "100% online, private, and secure process" as marketed to customers.
However, the FTC's complaint specifically points to the company's emphasis on privacy, including promises that "medical records and sensitive information are only accessed by the medical providers managing your care." The agency argues that instead of upholding these privacy commitments, Hims & Hers prioritized company growth and revenue generation.
In addition to the privacy violations, the FTC also alleged that Hims & Hers made it excessively difficult for customers to cancel their subscriptions and engaged in deceptive billing practices, further compounding the alleged misconduct.