FTC Takes Aim at Telehealth Giant Over Meta Data Sharing and Billing Practices

FTC Sues Hims & Hers Over Alleged Health Data Sharing and Subscription Practices

Hims & Hers Health is facing a major legal challenge after the Federal Trade Commission, along with officials from California and Utah, filed a lawsuit accusing the popular telehealth company of deceptive privacy and billing practices.

The lawsuit, filed on July 29, 2026, in the US District Court for the Northern District of California, claims that Hims & Hers shared sensitive patient health information with advertising platforms such as Meta and Snap, even though the company had allegedly assured customers that their medical data would remain private.

According to the complaint, the shared information may have included customer data connected to health concerns such as hair loss, erectile dysfunction, weight loss, and mental health treatment. Regulators allege that this data was provided through customer lists as well as tracking tools placed on the company’s website.

The FTC argues that these practices violated consumer trust, especially because telehealth users often provide deeply personal medical details when seeking online consultations or prescriptions.

Hims & Hers is one of the best-known direct-to-consumer telehealth companies in the United States. Based in San Francisco, the company offers virtual medical consultations and prescription delivery for a range of conditions. Its services have gained visibility through aggressive marketing, celebrity endorsements, and growing demand for weight-loss treatments.

Beyond the privacy allegations, the lawsuit also takes aim at the company’s subscription model. Regulators claim that many customers were charged and enrolled in recurring plans before ever having a meaningful consultation with a medical provider. The complaint also alleges that cancelling subscriptions was intentionally difficult, creating obstacles for users who wanted to stop being billed.

Hims & Hers has strongly denied the allegations. In a public statement, the company said it did nothing wrong and described the lawsuit as an attempt to attract attention after a nearly three-year investigation. The company also said it plans to “vigorously defend” itself in court.

The legal action had an immediate impact on investor confidence. Shares of Hims & Hers dropped by roughly 10% to 12% after news of the lawsuit became public.

The case is still in its early stages, and the court has not yet ruled on the allegations. For now, the claims remain unproven. However, the lawsuit adds to growing scrutiny of digital health companies and how they handle private medical information, online advertising, and subscription billing.

As telehealth continues to expand across the US, the outcome of this case could become an important test for how regulators enforce privacy protections in the digital healthcare industry.