FTC Sued Hims & Hers Over Deceptive Practices

Telehealth operators face heightened regulatory scrutiny regarding data privacy and subscription cancellation hurdles.

Updated on Sept. 19, 2026 in Healthcare

Bold flat-color editorial illustration showing a massive geometric building facade, evoking the weight of federal regulatory action. — The Federal Trade Commission has filed a lawsuit against Hims & Hers, alleging the telehealth operator used deceptive subscription tactics and improperly shared sensitive user health information. AI Illustration. Upload story photo >

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The Federal Trade Commission sued Hims & Hers for allegedly bypassing real-time medical consultations, enrolling users in difficult-to-cancel subscriptions, and sharing private health data without permission. These allegations highlight ongoing regulatory gaps for direct-to-consumer telehealth platforms.

Why it matters

Federal privacy laws like HIPAA often exclude many telehealth providers, leaving a significant regulatory void that the FTC is now targeting through enforcement actions. This shift increases compliance risks for companies that rely on automated intake questionnaires rather than live clinical oversight.

An analysis of 50 telehealth companies found that less than one-third require real-time physician consultations, while only slightly more than half screen users for eating disorders. These figures underscore the varied standards currently applied across the industry.

The players

Federal Trade Commission

A federal agency that enforces antitrust law and protects consumers from unfair or deceptive business practices.

Hims & Hers

A direct-to-consumer telehealth company that provides access to medical consultations and prescription medications.

BetterHelp

A telehealth platform previously targeted by federal enforcement actions related to consumer protection.

GoodRx

A healthcare technology company that previously faced FTC enforcement regarding health data privacy.

The details

Many telehealth providers utilize intake questionnaires to gather medical histories, a process the FTC alleges can bypass necessary clinical rigor. These platforms frequently share user health data with third-party advertising and social media networks. Because many direct-to-consumer services fall outside the scope of HIPAA, they face fewer federal constraints, leading states like California, Connecticut, and Maryland to enact their own health information protections.

September 19, 2026: The analysis regarding telehealth industry practices was published.

Market Landscape

The FTC lawsuit against Hims & Hers follows a pattern established by similar cases against BetterHelp and GoodRx. This litigation highlights the limitations of the Health Insurance Portability and Accountability Act (HIPAA) in regulating modern direct-to-consumer health platforms.

Operators in the telehealth space should review their data-sharing agreements and clinical intake protocols to ensure they meet emerging state privacy standards. Given the FTC's active enforcement posture, firms must prioritize transparency in subscription cancellation processes.

The takeaway

The FTC is aggressively filling the regulatory void left by the narrow scope of federal health privacy laws for direct-to-consumer services. Managers should audit their current data-sharing partnerships and consent flows to align with the stricter privacy requirements now appearing at the state level.