GoFundMe Accused of Sneaking Default Tips onto Donations

Two donors, Sandra Donovan from Illinois and Ebony Baker from Georgia, initiated a class action lawsuit against GoFundMe Inc. The core allegation is that the platform employed deceptive website design to automatically include optional tips during the donation process, making it difficult for donors to notice or remove these charges.

The plaintiffs contend that GoFundMe utilizes what they term "dark patterns," which constitute a form of negative option marketing. They further allege that the company misrepresents its financial model by suggesting its primary funding comes from tips, while in reality, it collects transaction fees from charitable organizations and fundraisers. The claims assert violations of the Illinois Consumer Fraud and Deceptive Business Practices Act and the Georgia Fair Business Practices Act, seeking various forms of damages and relief.

The lawsuit is currently filed in the U.S. District Court for the Northern District of Illinois. Affected consumers are represented by the plaintiffs and can seek to join the class action. The plaintiffs are represented by Amanda J. Rosenberg, Sophia Goren Gold, and Jeffrey D. Kaliel of KalielGold PLLC.