News & Analysis as of

Cancellation Rights

Fenwick & West LLP

CLE Takeaways: The Risks and Rewards of Recurring Subscriptions

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For companies offering subscription-based services, the regulatory landscape is becoming increasingly complex, with recent updates to federal and state laws creating new compliance requirements that demand careful attention...more

Clark Hill PLC

FTC Finalizes Click-To-Cancel Rule

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The Federal Trade Commission (FTC) recently finalized and issued a new rule governing negative option features, like subscription or membership agreements with automatic renewal and recurring payment options. The rule,...more

Snell & Wilmer

FTC Click to Cancel Rule

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In 2023, the U.S. Federal Trade Commission (FTC) sought public comments on how to combat perceived unfair and deceptive trade practices, recurring subscription charges, and cancelation of such plans. Born out of these...more

Venable LLP

Fast VAST Update: Federal Court Declines to Stay FTC Negative Option Rule During Challenge

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Last Friday in a 2-1 order, the Eighth Circuit Court of Appeals rejected an initial challenge to the Federal Trade Commission’s (FTC) Negative Option Rule. The challengers had asked the court to stay the Rule from taking...more

Arnall Golden Gregory LLP

Eighth Circuit Refuses to Stay Click-to-Cancel Rule

On January 17, 2025, the United States Court of Appeals for the Eighth Circuit denied a petition to administratively stay the effective date of the Federal Trade Commission’s controversial “Click-to-Cancel” Rule. A divided...more

Dorsey & Whitney LLP

FTC Finalizes Click to Cancel and Negative Option Rule

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On October 16, 2024, the Federal Trade Commission (FTC) announced a revision to its negative option rule. The rule, formally entitled the “Rule Concerning Recurring Subscriptions and Other Negative Option Programs,” is a...more

K&L Gates LLP

Key Changes to Consumer Protection Laws and Subscription Contracts in the United Kingdom That You Need to Know

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The landscape of subscription contracts is changing around the world, with a heavy focus on consumer protection. In the United States, the recently released "Rule Concerning Recurring Subscriptions and Other Negative Option...more

Cozen O'Connor

The State AG Report – 12.19.2024

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Here are curated AG and federal regulatory news stories highlighting key areas in which state and federal regulators’ decisions are having an impact across the US: •Illinois AG’s and FTC’s Settlement Takes a $25 Million...more

Cozen O'Connor

Illinois AG’s and FTC’s Settlement Takes a $25 Million Bite Out of Grubhub

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Illinois AG Kwame Raoul and the FTC have settled with Grubhub Inc. and Grubhub Holdings Inc. (collectively, “Grubhub”) to resolve allegations that it engaged in deceptive business practices that harmed customers, food...more

Venable LLP

Are Hyperlinked Disclosures "Clear and Conspicuous"? Yes, in some cases, according to the FTC's Final Negative Option Rule - A...

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The Federal Trade Commission's Final Negative Option Rule ("Click to Cancel Rule") contains stringent new requirements for negative option programs, making it even more difficult to run compliant negative option offers....more

Venable LLP

FTC and Illinois Attorney General Settle with Grubhub for Deceptive Practices

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This week, the Federal Trade Commission (FTC) and the Illinois attorney general announced a settlement with Grubhub Inc. to resolve allegations that the company engaged in an array of unfair and deceptive practices that...more

Benesch

A New Era of Auto-Renewal: A Closer Look at the New FTC and California Requirements

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It’s time to revisit automatic renewal compliance. With California amending its Automatic Renewal Law ("ARL") on September 24, 2024, and the Federal Trade Commission (“FTC”) finalizing its “Click-to-Cancel” Rule (“FTC Final...more

Morris, Manning & Martin, LLP

FTC “Click to Cancel” Rule: What to Know Now

On October 16, 2024, the Federal Trade Commission (FTC) announced its final “Click to Cancel” Rule (the Rule) as a part of its ongoing review of its 1973 Negative Option Rule. The FTC revised the Rule to provide additional...more

Cooley LLP

Government Reveals New Proposals for Incoming Subscription Contracts Regime Under DMCC Act

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In our last update on the Digital Markets Competition and Consumer Act (DMCC Act), we outlined some of the key consumer protection enhancements set to come into force in the UK. In particular, the DMCC Act sets out new rules...more

BakerHostetler

[Podcast] AD Nauseam: FTC Negative Option Rule

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On today’s episode of AD Nauseam Amy and Daniel talk about the new FTC Negative Option Rule....more

Ballard Spahr LLP

Consumer Finance Monitor Podcast Episode: A Look at the FTC’s Click-to-Cancel Rule, with James Kohm, Associate Director of...

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Today’s podcast features James Kohm, the Associate Director for the Enforcement Division of the Federal Trade Commission’s Bureau of Consumer Protection. We discuss the FTC’s “Click-to-Cancel” Rule (consisting of significant...more

Sheppard Mullin Richter & Hampton LLP

Renewal Revolution: Compliance With FTC’s “Click to Cancel” Rule

On October 16, 2024, the Federal Trade Commission (FTC) issued a new rule, referred to as the “Click to Cancel” rule, which is intended to make it easier for consumers to cancel recurring subscriptions and memberships....more

Brownstein Hyatt Farber Schreck

FTC to Shift Rulemaking Priorities in the Trump Administration

The Federal Trade Commission (FTC) is one of the independent agencies expected to undergo considerable changes in rulemaking priorities once President-elect Trump enters office. Chairwoman Lina Khan is expected to step down...more

Kelley Drye & Warren LLP

With Uncertainty Surrounding the FTC’s Negative Option Rule, New California Requirements Wait in the Wings

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Last Friday, the FTC’s final Negative Option Rule was published in the Federal Register, starting the clock on the effective dates for the agency’s expansive overhaul of requirements related to goods or services sold through...more

Sheppard Mullin Richter & Hampton LLP

Click! FTC Updates Its Negative Option Rule

The FTC updated its Negative Option Rule last month and gave it a new name to emphasize the expanded scope of programs to which it applies. It will now be the “Rule Concerning Recurring Subscriptions and Other Negative Option...more

BCLP

Are You Preparing to Comply with the FTC “Click-to-Cancel” Rule?

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The Federal Trade Commission (FTC) published its final “Click-to-Cancel” Rule in the Federal Register on November 15, 2024, meaning that companies should ensure that they comply with the rule’s requirements within the next...more

Womble Bond Dickinson

New Click-to-Cancel Requirements… Welcome/Not Welcome?

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The Federal Trade Commission (FTC) announced its long-awaited final Negative Option Rule (the “Rule”) on October 16, 2024. “Negative Options” according to the FTC are arrangements “under which the consumer’s silence or...more

Wiley Rein LLP

Wiley Consumer Protection Download (November 12, 2024)

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Welcome to Wiley’s update on recent developments and what’s next in consumer protection at the Consumer Financial Protection Bureau (CFPB) and Federal Trade Commission (FTC). In this newsletter, we analyze recent regulatory...more

DLA Piper

Preparing for (More) Updates to California’s Automatic Renewal Law

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California has passed additional amendments to its Automatic Renewal Law (ARL), which will further strengthen that law’s already stringent requirements and likely present increased class action risk....more

Morrison & Foerster LLP

The FTC Issues Final Rule on “Click-to-Cancel” and Negative Option Programs

After a multi-year process that was initiated in 2019, the U.S. Federal Trade Commission (FTC) has officially brought the 1973 Negative Option Rule into the 21st century, but not without opposition. The FTC has announced a...more

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