United States residents almost escaped subscription cancellation hell, but the Federal Trade Commission's “Click to Cancel” rule was unanimously struck down by the US Court of Appeals for the Eighth Circuit on Tuesday—just days before it was set to go into effect.
What would have happened if this updated FTC rule had gone into effect on July 14 as planned? “The stated goal was that they wanted to make it as easy for you to cancel a subscription as it is to sign up,” says John Breyault, vice president of public policy, telecommunications, and fraud at the National Consumers League. How reasonable! It’s the type of rule that sounds like it should already exist as part of baseline consumer protections.
If I can sign up for a gym membership or a news website subscription or a food delivery service with just a few, seamless taps on my smartphone, then why am I so often thrown into a labyrinth of puzzles—with people to call or in-person locations to visit—whenever I want to opt out from one of the recurring subscription charges. Even services that do allow users to cancel online may include more steps than the sign-up process or introduce confusingly labeled buttons that slow down the process.
The Eighth Circuit’s decision to nix the “Click to Cancel” rule was based on procedural complaints, not on the substance of what the consumer protections entailed. “While we certainly do not endorse the use of unfair and deceptive practices in negative option marketing, the procedural deficiencies of the Commission’s rulemaking process are fatal here,” reads the





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