News & Analysis as of

Cancellation Rights Federal Trade Commission (FTC)

Goodwin

FTC’s “Click-to-Cancel” Rule Gets New Life As FTC’s Enforcement Wave Continues to Target Negative-Option Sellers

Goodwin on

The Federal Trade Commission (FTC) is increasingly directing both its enforcement and rulemaking efforts toward auto-renewal programs, with a particular focus on burdensome or opaque cancellation procedures. ...more

Hinch Newman LLP

FTC Submits Notice of Proposed Rulemaking to Resuscitate Click-to-Cancel Rule

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Late last month, the Federal Trade Commission announced that it has submitted a draft Advance Notice of Proposed Rulemaking (“ANPRM”) concerning the FTC’s Rule Concerning the Use of Prenotification Negative Option Plans,...more

Fox Rothschild LLP

When “Too Good To Be True” Really Is Too Good To Be True: FTC Settles With NextMed Regarding Deceptive Advertising Practices.

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The Federal Trade Commission (“FTC”) has reached a settlement with NextMed (also known as Southern Health Solutions, Inc.), resolving allegations that the telehealth company misled consumers through deceptive advertising,...more

Hudson Cook, LLP

State Attorneys General Join FTC Suit Against Major Rideshare Company for "Cancel Anytime" Subscription Practices

Hudson Cook, LLP on

Twenty-one states and the District of Columbia have joined an FTC enforcement lawsuit against a major rideshare and food delivery company over its subscription and cancellation practices. The allegations center on the...more

Alston & Bird

FTC Finalizes Deceptive Advertising, Cancellation, and Review Practices Settlement with Telehealth Company

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The Federal Trade Commission (FTC) continues to focus on companies’ subscription and cancellation practices. Our Consumer Protection/FTC Team reviews the latest consent order accusing a company of deceiving consumers about...more

Holland & Knight LLP

Podcast - The Digital Marketplace: The FTC's Focus on Fair Online Transactions

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In this episode of "Clearly Conspicuous," consumer protection attorney Anthony DiResta provides an update on Federal Trade Commission (FTC) actions in the digital commerce space. Mr. DiResta discusses the FTC's core concerns...more

Hudson Cook, LLP

Keeping Your Eye on the Ball: Federal Cancellation Policy Settlements and New York Updates to Auto Renewal Law

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While much focus has recently been paid to the Massachusetts Attorney General's "junk fee" regulation, which includes newly effective negative option requirements, focus on automatic renewal cancellation policies remains a...more

Stradling Yocca Carlson & Rauth

The Subscription Cancellation Gap: Clear State Rules, Vague Federal Standards, and Growing Legal Risk

Anyone who’s tried to cancel a gym membership, a digital subscription, or an auto-renewing trial knows the feeling: buried links, print-and-mail forms, long hold times. Some apps simply won’t let go....more

Loeb & Loeb LLP

FTC Scrutiny of Automatic Renewals: What Health & Wellness Companies Should Know

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Earlier this summer, the Federal Trade Commission’s (FTC’s) “click-to-cancel” rule was overturned by the U.S. Court of Appeals for the Eighth Circuit, just days before the new rule was set to go into effect. According to the...more

Goodwin

FTC Settles with Amazon Over Enrollment and Cancellation Processes for Prime Memberships

Goodwin on

On September 25, 2025, the Federal Trade Commission announced it had reached a settlement with Amazon.com, Inc. and two company executives, resolving allegations that the company’s enrollment and cancellation processes for...more

Wiley Rein LLP

FTC Consumer Protection and Privacy Enforcement Series: Subscription Cancellation Policies Remain a Top FTC Priority

Wiley Rein LLP on

When the FTC’s “Click to Cancel” Rule (otherwise known as the revised Negative Option Rule), was in litigation in July 2025, we predicted the FTC was likely to instead focus on enforcing the Restore Online Shoppers Confidence...more

Holland & Knight LLP

FTC Steps Up Subscription Enforcement After "Click to Cancel" Rule Struck Down

Holland & Knight LLP on

Despite the demise of the Federal Trade Commission's (FTC) "Click to Cancel" Rule in July 2025, the FTC continues to actively define new standards for lawful subscription practices. The FTC's recent lawsuits and settlements...more

Fisher Phillips

Even Without Click-to-Cancel, the FTC Forces $7.5M Settlement Based on Subscription Violations: What Your Business Should Do

Fisher Phillips on

The FTC just announced a $7.5 million settlement with an educational technology company over its unlawful cancellation practices, sending a warning to all businesses that offer subscription-based offerings. Even though a...more

Cozen O'Connor

FTC Teaches Ed Tech Firm a $7.5M Lesson on Cancellation Practices

Cozen O'Connor on

The FTC announced a settlement with Chegg Inc., resolving allegations that the education technology company used unlawful tactics to make it extremely difficult—and, in some cases, virtually impossible—for consumers to cancel...more

Orrick, Herrington & Sutcliffe LLP

FTC makes ed. tech company pay $7.5M for unlawful cancellation practices

On September 15, the FTC announced it had filed a complaint in the U.S. District Court for the Northern District of California along with a proposed order for permanent injunction and monetary judgment against an educational...more

Kelley Drye & Warren LLP

FTC Announces $7.5 Million Settlement Over Cancellation Practices

In July, the Eighth Circuit vacated the FTC’s ​“Click to Cancel Rule.” At the time, we noted that although the FTC was unlikely to try to resurrect the Rule, they could continue to challenge cancellation practices under other...more

Foster Garvey PC

FTC Escalates Enforcement Against Cancellation Policies Utilized with Subscription Product Orders

Foster Garvey PC on

The Federal Trade Commission (“FTC”) has increased its campaign against businesses that impose unreasonable barriers to consumer cancellation of memberships and subscriptions. Recent actions demonstrate the agency’s intent to...more

DLA Piper

Click-to-Cancel Lives on Under ROSCA and Section 5

DLA Piper on

The Federal Trade Commission (FTC) has filed a complaint in the Central District of California against Fitness International, LLC and Fitness & Sports Clubs, LLC (together, LA Fitness), alleging unfair and deceptive practices...more

Cozen O'Connor

The State AG Report – 08.28.2025

Cozen O'Connor on

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: • FTC Sues LA Fitness to Cancel Unfair Membership...more

Cozen O'Connor

FTC Sues LA Fitness to Cancel Unfair Membership Cancellation Practices

Cozen O'Connor on

The FTC has sued Fitness International, LLC and Fitness & Sports Clubs, LLC—the operators of “LA Fitness”—alleging that the gyms have made it extremely difficult for consumers to cancel memberships and recurring charges in...more

Troutman Pepper Locke

FTC Orders Match Group to Pay $14M Over Alleged Deceptive Subscription Practices and Guarantee Claims

Troutman Pepper Locke on

On August 12, the Federal Trade Commission (FTC) ordered Match Group, owners and operators of online dating platforms such as Match.com, OkCupid, PlentyOfFish, The League, and others, to pay $14 million. This settlement...more

Hudson Cook, LLP

FTC Sues Large Gym Chain over Cancellation Policies

Hudson Cook, LLP on

On August 20, 2025, the FTC filed a complaint in the U.S. District Court for the Central District of California, alleging that the Gym violated the FTC Act and the Restore Online Shoppers' Confidence Act (ROSCA). The FTC's...more

Robinson+Cole Data Privacy + Security Insider

Privacy Tip #455 – Match Group Settles with FTC Over Deceptive Advertising

If you are a Match.com user, you will want to be aware that the FTC recently announced that “Match Group, Inc., and Match Group, LLC (Match), the owners and operators of online dating services Match.com, OkCupid,...more

Hudson Cook, LLP

Online Dating Service Agrees to Pay $14 Million to Resolve FTC Lawsuit

Hudson Cook, LLP on

On August 12, 2025, the Federal Trade Commission announced that a large online dating company (the "Company") agreed to stop alleged unlawful practices related to advertising, cancellation, and billing. ...more

WilmerHale

Eighth Circuit Vacates the FTC's Click to Cancel Rule, but Federal and State Regulators Likely to Remain Active

WilmerHale on

On July 8, 2025, the United States Court of Appeals for the Eighth Circuit vacated the Federal Trade Commission’s (FTC) “Click to Cancel” Rule....more

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