News & Analysis as of

ROSCA Subscription Services

Venable LLP

Handle Autorenewal Programs with Care: Federal Trade Commission Targets Care.com for Alleged Dark Patterns and Earnings Claims

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Companies that care about avoiding Federal Trade Commission (FTC) action should take heed. Last month, the FTC announced an $8.5 million settlement with Care.com, resolving claims challenging its advertising claims and...more

Cooley LLP

FTC Continues Aggressive ROSCA Enforcement Agenda Against Negative Option Sellers

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In June 2024, the US Federal Trade Commission (FTC) and the Department of Justice jointly filed a complaint under the Restore Online Shoppers’ Confidence Act (ROSCA) in the US District Court for the Northern District of...more

Moritt Hock & Hamroff LLP

FTC Accuses Adobe Of Manipulating Customers Into Costly Subscriptions

Customers worldwide use Acrobat, Photoshop, Illustrator and other Adobe software to create content and manipulate images. Now, the Federal Trade Commission (FTC) is accusing Adobe of manipulating customers into subscription...more

Venable LLP

The Loper Bright Impact: Agency Action Likely to Face More Scrutiny in Light of the Supreme Court’s Disposal of Chevron Deference

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These days, it seems like there are three guarantees in life—death, taxes, and monumental Supreme Court administrative law opinions in the summer. As you’ve probably heard by now, the trend continues this year, including...more

Orrick, Herrington & Sutcliffe LLP

FTC refers ROSCA case against software company and executives to DOJ

On June 17, the FTC announced an enforcement action against a software company and two of its executives for its practices related to its subscription model. According to the redacted complaint filed by the DOJ (upon referral...more

Moritt Hock & Hamroff LLP

FTC ‘Dark Patterns’ Lawsuit Against Amazon Progresses

A federal judge in Seattle has ruled against Amazon in its bid to have a Federal Trade Commission (FTC) lawsuit dismissed that alleges the online retailer used deceptive “dark patterns” practices to enroll customers in Prime...more

BakerHostetler

[Podcast] AD Nauseam: Movie Pass – I Am Big. It’s the Pictures that Got Small.

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On today’s episode of Ad Nauseam Amy and Daniel talk about the FTC’s case against MoviePass and a recent HBO documentary called MoviePass Movie Crash....more

Venable LLP

The Federal Trade Commission's Enforcement Trends under the Restore Online Shoppers' Confidence Act: A Fast VAST Update

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The Federal Trade Commission (FTC) has made clear its focus on automatic renewal programs with high-profile lawsuits in recent weeks, alleging violations of the Restore Online Shoppers' Confidence Act (ROSCA). Below are some...more

BakerHostetler

A Star Is Born

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It seems like there is a nonstop stream of interesting developments these days with respect to advertising and marketing law, but only once in our careers has a colleague been in a movie, so we wanted to take a break from...more

BakerHostetler

California Renewing Its Commitment to Its Automatic Renewal Law

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The California legislature recently renewed its efforts to regulate automatic renewal programs with proposed amendments to its Automatic Renewal Law (ARL). This development does not follow any lack of attention to this area...more

Kelley Drye & Warren LLP

NY AG Gets Serious Over Cancellation Practices

Last month, the New York AG filed a lawsuit against Sirius XM Radio, alleging that the company ​“sells subscriptions that are easy to purchase, and extremely difficult to cancel.” Consumers who want to cancel their...more

Venable LLP

New York Attorney General: Sirius XM Customers “Frustrated” When Trying to Cancel Subscriptions

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On December 20, 2023, New York Attorney General Letitia James filed a Petition in state court alleging Sirius XM Radio’s autorenewal practices violated New York’s autorenewal law. In the lawsuit, New York alleges that Sirius...more

Sheppard Mullin Richter & Hampton LLP

FTC Settles with Fintech for $18M over Deceptive Cash Transfers and Difficult-to-Cancel Memberships

On November 2, the FTC entered into a settlement agreement with a Manhattan-based fintech company for $18 million over alleged deceptively marketed cash advances to consumers and impeding customers’ ability to cancel...more

Proskauer - Minding Your Business

Amazon: The Prime Target in FTC Crackdown

On October 18, 2023, Amazon filed a motion to dismiss the Federal Trade Commission’s lawsuit alleging that the company deceived millions of consumers into nonconsensual Prime membership enrollment and thwarted members’...more

Foley & Lardner LLP

Sufficiently Conspicuous: Arbitration Agreements and Class Action Waivers for Subscription-Based Businesses

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Since its enactment in 2010, California’s Automatic Renewal Law (ARL) has motivated an ever-increasing number of putative class action complaints. The latest surge is due in large part to amendments that went into effect last...more

Locke Lord LLP

FTC Takes Action Against Amazon for ‎Alleged Deceptive Prime Subscriptions

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On June 21, 2023, the Federal Trade Commission (the “FTC” or the “Agency”) filed a complaint against Amazon for ‎multiple violations of the Restore Online Shoppers’ Confidence Act (ROSCA). The focus of the ‎FTC action alleges...more

Wilson Sonsini Goodrich & Rosati

FTC Alleges Amazon Prime Subscription and Cancellation Screens Violate Federal Law

The recent suit filed by the Federal Trade Commission (FTC) represents the latest guidance in the rapidly evolving patchwork of federal and state laws that govern online subscription models. Any company offering subscription...more

Ballard Spahr LLP

FTC action against Amazon targets alleged use of digital dark patterns as unfair to consumers

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Last week, the FTC filed a civil case against Amazon alleging that the company used “dark patterns” to enroll people in its Prime program. The case continues a pattern initiated by FTC Chair Lina Khan of challenging...more

Faegre Drinker Biddle & Reath LLP

Summer 2023 Automatic Renewal Law Update: FTC Proposes Sweeping Amendments to Negative Option Rule

Over the last few years, perhaps prompted by the proliferation of subscriptions for consumer goods and services during the pandemic, several states have passed new automatic renewal laws (ARLs) that regulate continuing or...more

BCLP

What the FTC’s Proposed Expansion of its Enforcement Powers over Autorenewal Subscription Programs Means for Your Business

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On March 23, the Federal Trade Commission announced proposed changes to its Negative Option Rule. This latest announcement appears to be another move by the Commission in its recent flurry of activities to ramp up its...more

ArentFox Schiff

Top 10 Issues Facing Consumer Products Industry in 2023

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1. Consumer Law Reforms - 2023 will see an increase in class action lawsuits targeting per- and poly-fluoroalkyl substances (PFAS) in consumer products as more PFAS-limiting laws go into effect. Specifically, we expect food...more

BakerHostetler

FTC One-Ups Itself with One Proposed Rule to Rule All Subscription Services

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Mornings for advertising lawyers usually start slow – coffee in one hand and phone in the other while we glance at emails. Imagine our surprise the other morning when we saw that the Federal Trade Commission (FTC) had issued...more

Hudson Cook, LLP

Seller Beware: Avoiding Negative Attention on Your Negative Option Contracts

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Remember that magazine you subscribed to years ago that comes once a month and usually winds up in the recycling bin? You probably didn't think you were subscribing to the magazine for the rest of your natural life but here...more

Venable LLP

Is Your New Year’s Resolution to Comply with Automatic Renewal Laws? If So, Look No Further

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The law surrounding negative option and continuity programs continues to evolve rapidly. Feeling a bit overwhelmed with the latest developments? Below is what you need to know in light of new laws, new enforcement actions,...more

Kelley Drye & Warren LLP

Two Firsts for FTC Civil Penalty Enforcement: ROSCA for Automatic Renewals and Penalty Offense Authority for Money-Making Claims

On Friday, the FTC announced what would ordinarily be an unremarkable enforcement action against a company for unsubstantiated earnings claims. The FTC alleges that WealthPress, an investment advice company purporting to...more

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