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FTC delays enforcement of click-to-cancel rule
The Federal Trade Commission voted Friday to delay enforcement of the Negative Option Rule — known widely as the “click-to-cancel” rule requiring that
The Federal Trade Commission voted Friday to delay enforcement of the Negative Option Rule — known widely as the “click-to-cancel” rule requiring that companies make it as easy to cancel a subscription as it was to sign up. The rule, which was first proposed in 2023, took aim at businesses selling physical and digital subscriptions — everything from streaming services to gym memberships — through simple signup flows, only to have customers discover later that they have to go through a much more complex or time-consuming process to cancel. Despite the delay, the FTC said it will indeed begin enforcement July 14, when “regulated entities must be in compliance.”
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