FTC finalizes ‘click to cancel’ rule making it easier to cancel subscriptions

The Federal Trade Commission (FTC) on Wednesday announced that it finalized its “click to cancel” rule that will require companies to make it easier for consumers to cancel their subscriptions.

The click to cancel rule will apply to nearly all sellers of negative option programs – which is a form of contract that assumes the consumer accepts the offer if they don’t take active steps to reject it, such as with a subscription that automatically renews unless canceled.

The rule requires that sellers get consumers’ consent for subscriptions, auto-renewals and free trials that convert to paid memberships. They must also offer a cancellation process that is “at least as easy to use” as the sign-up process is.

It will…

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