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Adobe’s announced $150 million settlement is split between a $75 million civil penalty paid to the U.S. Department of Justice and $75 million in services for eligible customers—not a general cash refund. Adobe says qualifying U.S. Creative Cloud customers will receive two free months, subject to specific subscription dates and fee conditions.

What Adobe’s $150 million settlement includes

On March 13, 2026, the U.S. Department of Justice announced a proposed stipulated order resolving its case against Adobe and two employees. The announced package totals $150 million:

Part of the package Amount and recipient
Civil penalty $75 million paid to the Department of Justice
Customer services $75 million in services at no cost for eligible customers; Adobe describes the benefit as two free months of access to Adobe services

DOJ described the order as proposed. The available announcement does not establish a court-entry date, so the settlement should be described as announced by DOJ rather than as a court-entered order. DOJ’s March 13, 2026 announcement and Adobe’s statement describe the two parts of the package.

The official materials describe a civil penalty and software services, not a general cash payment or refund to every subscriber. The customer service benefit has its own eligibility test.

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What the government alleged—and Adobe’s response

The case began with FTC allegations referred to DOJ for civil penalties and filed in the U.S. District Court for the Northern District of California. Regulators alleged that Adobe made its “annual paid monthly” plan prominent while obscuring the early termination fee and making cancellation difficult. Those are allegations, not findings that should be treated as an adjudication of every claim.

The FTC’s 2024 complaint described the online annual-paid-monthly option as preselected, with its monthly price highlighted and the first-year cancellation fee insufficiently disclosed. The FTC said that fee was 50 percent of the remaining monthly payments in the first year. It also alleged that cancellation could involve multiple pages, customer-service resistance or delay, dropped calls or chats, and transfers. The FTC’s 2024 announcement recounts those complaint allegations.

DOJ’s 2026 announcement summarized the allegations as hiding important plan terms in fine print and inconspicuous hyperlinks, and subjecting customers who tried to cancel to unnecessary steps, delays, unsolicited offers, and warnings. DOJ said the Restore Online Shoppers’ Confidence Act (ROSCA) generally requires online subscription sellers to clearly disclose important information and provide simple cancellation methods. DOJ’s announcement describes the proposed resolution.

Adobe said it disagreed with the government’s claims and denied wrongdoing, while agreeing to the settlement’s announced components. It said its subscription model supports ongoing updates and cloud features and maintained that its terms and cancellation process were transparent. Adobe’s statement presents its position.

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Who Adobe says qualifies for two free months

Adobe’s FAQ says the service benefit is limited to U.S. customers who meet all of these conditions:

  • They subscribed to a Creative Cloud app at some time from January 2019 through July 2025.
  • They paid an Early Termination Fee.
  • The fee plus their monthly subscription fees exceeded the cost of a month-to-month plan for the same period.

These are Adobe’s stated eligibility criteria, not a promise that every person who paid an early termination fee qualifies. Adobe says it emailed eligible customers at the address linked to their Adobe account. For the full criteria, see Adobe’s settlement FAQ.

How the two free months work

If your subscription is active

Adobe says eligible customers with active subscriptions receive two free months automatically on each active subscription. The credit should appear under Billing and Payment in the account’s Your Plan section. After the free months, billing resumes under the existing terms. For an upfront annual subscription, Adobe says the credit is applied at the next renewal and prorated; it is not a permanent price reduction.

If your subscription has ended

Adobe says eligible former customers can redeem two free months of one of the listed Adobe products using the link in their settlement email. Adobe says no credit card or subscription commitment is required for the redemption, and access ends automatically after two months unless the customer chooses to start a subscription. The stated redemption deadline is December 31, 2027.

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If you think you qualify but did not get an email

Adobe advises checking the spam folder and contacting Adobe Support for help. Check the account email, subscription history, and billing records against Adobe’s eligibility conditions before contacting support. The settlement email is the route Adobe identifies for former customers to redeem the offer. Details and product options are in Adobe’s FAQ.

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How annual-paid-monthly differs from month-to-month

The plan names can sound similar because both may involve monthly payments, but the commitment differs. An annual plan billed monthly commits the customer to a term; the FTC alleged that Adobe charged an early termination fee for cancellation in the first year. A month-to-month plan is the comparison Adobe uses in its settlement eligibility test. Adobe offers different combinations of upfront cost and flexibility, so check current plan terms before enrolling; the settlement materials do not establish current prices.

For the benefit test, Adobe compares the customer’s monthly subscription fees plus any Early Termination Fee with the cost of a month-to-month plan for the same period. A monthly billing amount alone therefore does not determine eligibility.

What DOJ says the proposed order would require

DOJ said the proposed stipulated order would require Adobe to disclose any Early Termination Fee and how it is calculated before enrolling a customer; remind customers before a free trial longer than seven days converts into a paid subscription with an Early Termination Fee; and provide easy cancellation methods. These are terms DOJ announced for the proposed order, not a description of a verified court-entry date. DOJ’s announcement sets out the protections.

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