US Edition
The FTC's 'Click to Cancel' Rule Delay Could Make It Harder to Ditch Unwanted Subscriptions
- The Federal Trade Commission finalized the Negative Option Rule, known as the 'click-to-cancel' rule, requiring companies to simplify subscription cancellations by July 14, 2025.
- This rule update arose because companies often used complex methods to prevent cancellations, prompting investigations and lawsuits from industry groups challenging the rule.
- The rule mandates clear disclosures, express informed consent, and that cancelling subscriptions must be as easy as signing up, covering both digital and physical goods.
- The FTC delayed enforcement by 60 days from May 14 to July 14, citing a need for companies to have sufficient time to comply with the complex requirements, based on a unanimous 3-0 vote.
- The delay may affect enforcement strength, but the FTC remains open to amending the rule if future experience reveals issues, indicating ongoing regulatory evaluation.
51 Articles
51 Articles
The Swedish Consumer Agency is reviewing companies' customer services
Consumers still experience major problems with long waiting times, difficulties in contacting companies and hassles when canceling contracts and making complaints. This is shown by a new report from the Swedish Consumer Agency, writes DN.
FTC delays rollout of new rule to simplify subscription cancellations
The Federal Trade Commission is delaying the implementation of a Biden administration rule designed to make it easier for consumers to cancel ongoing subscriptions without facing unnecessary obstacles.The FTC approved the rule in October, with it initially set to go into effect this month. However, the new rule has faced delays under the Biden administration due to the "complexities" involved in implementing the regulations.Essentially, the rule…
FTC delays click-to-cancel rule enforcement, giving companies more time to simplify cancellations
It was back in March 2023 when the FTC proposed a click to cancel provision that would require companies to make the process of canceling recurring subscriptions as simple as signing up for them.Read Entire Article
Coverage Details
Bias Distribution
- 85% of the sources are Center
To view factuality data please Upgrade to Premium
Ownership
To view ownership data please Upgrade to Vantage
