Shutterstock to pay $35M in FTC settlement over subscription practices
14 May 2026
Shutterstock has agreed to pay $35 million to settle allegations brought by the Federal Trade Commission (FTC) over deceptive subscription and billing practices.
The FTC said some customers were not clearly informed about auto-renewal terms tied to annual plans and allegedly faced obstacles while trying to cancel subscriptions.
The case focused on how the stock media company marketed subscription services and content packages.
Shutterstock has not admitted wrongdoing as part of the settlement.
Annual plans carried unclear renewal and cancellation terms
Renewal confusion
The FTC alleged Shutterstock promoted certain subscription plans as annual offerings billed monthly without clearly explaining that they would automatically renew.
Regulators claimed some users were unaware they could face significant cancellation fees if they ended subscriptions before the term expired.
The agency argued that important contract details were not presented transparently during sign-up.
The investigation centered on whether customers were given enough information to make informed decisions before committing to long-term plans and recurring billing arrangements on the platform.
Regulators accuse Shutterstock of making cancellations unnecessarily difficult
Cancellation hurdles
The FTC also criticized Shutterstock's cancellation process, alleging subscribers encountered multiple barriers when attempting to end their plans.
Consumers allegedly faced long customer service wait times, repeated follow-up steps through email, and several layers of online prompts before cancellations could be completed.
Regulators said these practices complicated the process for users seeking to stop recurring payments.
The agency's complaint reflects broader scrutiny of subscription businesses that rely on auto-renewal systems while making cancellation procedures harder for consumers to navigate efficiently.
Shutterstock failed to explain auto-renewing content packs: FTC
Content pack issue
Regulators further alleged Shutterstock did not adequately disclose renewal terms connected to its on-demand content packs.
The packages were marketed for limited or single-project use, but customers allegedly were not clearly told they could renew automatically after one year.
The FTC also claimed the packs could replenish automatically once credits were depleted, potentially leading to unexpected charges.
Officials argued users were not sufficiently informed about these recurring billing mechanisms before purchasing the services, raising concerns about transparency and consumer consent.
Settlement arrives as Shutterstock pursues Getty Images merger
Getty merger
The settlement comes while Shutterstock is also involved in a major corporate transaction with Getty Images.
The companies agreed in early 2025 to combine in a deal valued at roughly $3.7 billion at the time.
That merger is currently under regulatory review in both the US and Europe.
FTC consumer protection chief Christopher Mufarrige criticized practices that allegedly hid important contract terms and made cancellation difficult, saying such conduct undermines informed consumer choice and competition.