Toast rejects the FTC lawsuit's allegations

Where this statement fits

FTC and state plaintiffs sue Toast over restaurant fees and cancellations; Toast disputes the claims

The Federal Trade Commission, seven state attorneys general and the People of California sued Toast, Inc. and four of its subsidiaries on October 29, 2026, in the U.S. District Court for the Northern District of California. The complaint alleges that Toast falsely advertised "$0" hardware and "24/7/365" customer support, charged fees and add-on subscriptions without consent, hid fees and made subscriptions hard to cancel. Toast says it strongly disagrees with the allegations and will defend the case. The FTC brings three counts under the FTC Act, all plaintiffs bring three under the Restore Online Shoppers' Confidence Act, or ROSCA, and each state plaintiff adds claims under its own consumer-protection law. Toast argues that ROSCA, a federal law on subscriptions sold online, does not apply to its negotiated contracts with restaurants. The complaint says customers enroll through Toast's online checkout or by signing order forms online.