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FTC Rule Making It Easier to Cancel Subscriptions Struck Down by Court


Under the FTC's "Click to Cancel" rule, businesses would've had make it as easy to cancel subscriptions as it is to sign up. An appeals court has now struck that measure down.

It was initially set to take effect in May but was delayed as President Trump’s FTC moves to ease off the hard line stance on consumer protection the agency took under former chair Lina Khan, who was widely criticized by the business community for disregarding industry concerns. In 2023, The Hollywood Reporter subscribed to and canceled Prime Video, the Disney+ Hulu bundle, Max, Netflix and Peacock to compare the processes. In Tuesday’s ruling, the U.S. Court of Appeals for the Eighth Circuit found that the FTC skipped a key procedural requirement in implementing the initiative.

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