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FTC’s click-to-cancel rule has been struck down by federal judges at the eleventh hour
Adoption of the federal requirements to make canceling subscriptions easier were delayed in May.
In 2024, the FTC was set to implement the"click to cancel" rule, which would have placed requirements on companies to be forthright about the terms and conditions and exit options for their subscriptions. Today, the entire plan appears to be dead in the water after judges in the US Eighth Circuit Court of Appeals decided to vacate the rule. "While we certainly do not endorse the use of unfair and deceptive practices in negative option marketing, the procedural deficiencies of the Commission’s rulemaking process are fatal here," the ruling reads.
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