News & Analysis as of

Subscription Services

Venable LLP

Eighth Circuit Cancels FTC Negative Option Rule: What Does It Mean?

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The U.S. Court of Appeals for the Eighth Circuit vacated the Federal Trade Commission’s Rule Concerning Subscriptions and Other Negative Option Plans (often referred to as the “Click-to-Cancel” rule) on July 8, just days...more

Clark Hill PLC

Colorado Court of Appeals rules Netflix subscriptions are “Tangible Personal Property” and taxable under Colorado law

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In a significant victory for the Colorado Department of Revenue, the Colorado Court of Appeals ruled this week that Netflix subscriptions are “tangible personal property” and therefore taxable under Colorado law, reversing a...more

Perkins Coie

New York and Colorado Update Auto-Renewing Subscription Requirements

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Recent enforcement actions underscore the growing risks for businesses with automatically renewing subscriptions. In June 2025, New York Attorney General Letitia James announced a $600,000 settlement with fitness company...more

BakerHostetler

Automatic Renewal Law Updates - Massachusetts, New York and Connecticut

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Companies selling subscriptions have been busy navigating compliance with the Federal Trade Commission’s Negative Option Rule, which is scheduled to go into effect July 14. But when it rains, it pours....more

Nelson Mullins Riley & Scarborough LLP

Autorenewal Requirements Are Finally Coming Into Focus – What You Need to Know

As July prepares to descend upon us, the swirl regarding the impending legal requirements for properly offering and administering autorenewing subscriptions has become downright maddening – which rules will apply? How can I...more

Venable LLP

FTC Targets “Merchant of Record” for Unlawful Payment Processing, TSR, and ROSCA Violations

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In a development that underscores the Federal Trade Commission’s (FTC) growing scrutiny of the “merchant of record” model, the commission announced a $5 million settlement with UK-based Paddle.com Market Limited (Paddle),...more

Miller Canfield

FTC's 'Click-to-Cancel' Rule Battles Through Political Shifts and Legal Challenges

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The Federal Trade Commission’s (“FTC”) Negative Option Rule, dubbed the “Click-to-Cancel” Rule (the “Rule”), stands to substantially change the way online businesses must interact with customers. Its fate is now in the hands...more

Proskauer - Advertising Law

Subscription Shake-Up: Navigating the FTC’s Click-to-Cancel Rule

In October 2024, the Federal Trade Commission (“FTC”) updated its 1973 Negative Option Rule to address unfair and deceptive online subscription practices. See 16 C.F.R. § 425 (2024) (the “Negative Option Rule” or the “Rule”)....more

Kelley Drye & Warren LLP

NY Quietly Amends Automatic Renewal Law

On May 9, 2025, New York Governor Kathy Hochul signed a large budget bill with ​“major components of legislation necessary to implement the state transportation, economic development, and environmental conservation budget for...more

Hudson Cook, LLP

Consumer Financial Services Bites of the Month - May 2025 - "The CFPB in the End of May"

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In this month's article, we share some of our top "bites" covered during the May 2025 webinar....more

Robinson Bradshaw

Cancel Culture, FTC Style: What Subscription-Based Businesses Need to Know about the FTC’s New “Click-to-Cancel” Rule

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Last fall, the FTC published the Rule Concerning Recurring Subscriptions and Other Negative Option Programs, or the “Click-to-Cancel Rule.” The Rule targets practices where cancellation is intentionally more difficult than...more

Cozen O'Connor

The State AG Report – 06.05.2025

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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: • AGs Secure Contempt Ruling Against Robocaller for...more

BakerHostetler

[Podcast] AD Nauseam: I Want to Break Free – Free Claims!!

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In this episode of AD Nauseam, Amy Mudge and Daniel Kaufman explore the complexities of advertising “free” offers, emphasizing the importance of transparency and compliance with FTC guidelines. They discuss how the term...more

Sheppard Mullin Richter & Hampton LLP

California’s “Auto Renewal Law” Takes Effect on July 1

Amendments to California’s Automatic Renewal Law (ARL) will take effect on July 1, 2025. Enacted in September 2024 through Assembly Bill No. 2863, the amendments expand disclosure, consent, and cancellation obligations for...more

Cozen O'Connor

Connecticut Enacts New Law Strengthening Consumer Protections

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The Connecticut legislature has passed a sweeping new consumer protection law addressing hidden fees, subscription practices, electronic privacy, price gouging, and right-to-repair requirements, among other things....more

Cozen O'Connor

NY Settles with Equinox for Allegedly Making Consumers Sweat over Negative Option Plans

Cozen O'Connor on

New York AG Letitia James entered into a settlement with Equinox Group, LLC (Equinox Group), which operates fitness services under Equinox, Equinox+, and SoulCycle, resolving allegations that its subscription and cancellation...more

Cooley LLP

California Automatic Renewal Law Amendments Take Effect on July 1, 2025

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California’s recent amendments to its Automatic Renewal Law (ARL), imposing new compliance obligations on businesses offering subscription-based services to California consumers, become effective on July 1, 2025. These...more

Mintz - Privacy & Cybersecurity Viewpoints

New York is Protecting its Consumers, One Budget at a Time

New York Governor Kathy Hochul has spoken: New York consumers need more information, more protections, and more money in their pockets. As part of the Transportation, Economic Development and Environmental conservation...more

Lewitt Hackman

Service Franchisors: New Rules in California for Automatic Renewals July 1st

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From streaming services and gym memberships to software vendor agreements and e-commerce franchises, automatic contract renewals are common occurrences. Currently, California law protects consumers regarding automatic renewal...more

Ballard Spahr LLP

New York Gov. Hochul signs legislation that includes BNPL Licensing Requirements and other Consumer Protection Provisions

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New York Gov. Kathy Hochul has signed legislation that, among other things, imposes new licensing requirements on Buy Now, Pay Later services....more

Venable LLP

Cut to the Chase: FTC Trims Staff but Keeps Enforcement Focus

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On May 15, Federal Trade Commission (FTC) chairman Andrew Ferguson testified before the House Appropriations Committee in support of the FTC’s budget request. His testimony provides insight into the agency’s downsizing and...more

Winstead PC

The Federal Trade Commission (FTC) Click-to-Cancel

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The Federal Trade Commission (“FTC”) has recently announced that the FTC’s Click to Cancel Rule (the “Rule”) has been postponed to July 14, 2025. Originally planned to become effective May 14, 2025, the Commission released...more

Womble Bond Dickinson

FTC Defers Some Click-to-Cancel Rule Enforcement to July 14, 2025

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Companies with recurring payment programs with negative option terms now have until July 14, 2025, to bring their disclosure, consent, and cancellation practices into full compliance....more

Fisher Phillips

FTC’s Click-to-Cancel Rule Delayed Amid Legal Challenges: What Businesses Need to Know

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Federal officials just postponed enforcement of the Click-to-Cancel rule, which requires businesses offering subscriptions or memberships to provide a cancellation process as straightforward as the sign-up procedure. The...more

Holland & Knight LLP

FTC Defers Negative Option Rule Compliance Deadline by 60 Days

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The Federal Trade Commission (FTC or Commission) on May 9, 2025, voted to defer the compliance deadline for the amended Negative Option Rule (Rule) by 60 days "given the complexities" of conforming to the amended Rule....more

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