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"Too often, businesses make people jump through endless hoops just to cancel a subscription," FTC Commission Chair Lina Khan said in a news release. "The FTC's rule will end these tricks and traps ...
FTC ‘click to cancel’ rule faces legal challenges. Industry and trade groups say “click to cancel” places too many burdens on businesses, and they are suing to block the FTC from enforcing it.
MORE: FTC ban on worker noncompete agreements blocked by federal judge. Under the so-called "click-to-cancel" rule, if customers decide to enroll in a subscription online or through an app in one ...
Most of the provisions take effect effect 180 days after the rule is published in the Federal Register, the agency said. “Too often, businesses make people jump through endless hoops just to cancel a subscription,” FTC Chair Lina Khan said in a statement. “The FTC’s rule will end these tricks and traps, saving Americans time and money.
In October 2023, the FTC proposed a new rule that would ensure that the cancellation process of subscription services is as easy as the process of signing up. [ 65 ] [ 66 ] On October 16, 2024, the FTC announced the new rule, dubbed "click to cancel", requiring companies to make subscription services "as easy for consumers to cancel their ...
The FTC has finalized a "click-to-cancel" rule that requires sellers to make it as easy to cancel a subscription as it was to sign up, in an effort to protect consumers from unfair or deceptive ...
According to the Federal Trade Commission, unsolicited goods are considered a gift, and the recipient is not required to pay for or return them. [3] [4]This is different than situations where a customer signs up for a service or club without reading fine print and agrees to purchase goods through the mail.
The Federal Trade Commission Act (FTC Act): The FTC Act prohibits companies from engaging in unfair or deceptive practices, including those related to in-app purchases. These practices include failing to clearly disclose the costs of purchases, making it difficult for consumers to cancel purchases, and encouraging mass spending. [1]