The US Federal Trade Commission postponed the enforcement of its ‘click-to-cancel’ rule, designed to simplify the process of canceling subscriptions.
The provision is part of the FTC’s updated Negative Option Rule. It mandates that companies clearly disclose subscription terms and ensure that canceling a subscription is no more difficult than signing up.
The rule came into effect on January 19, though enforcement of specific provisions were originally set for May 14th. The Commission postponed the enforcement of the provision by 60 days, after reassessing potential challenges to meeting the original deadline.
On July 14th, all regulated entities will be expected to fully comply with the rule. However, the FTC said thte rule remains open to revision if enforcement reveals any issues.
