Starting Sunday, a new federal rule will make it significantly easier for New Yorkers to cancel subscriptions and services that renew automatically.
The Federal Trade Commission’s (FTC) “Click-to-Cancel” Rule requires companies to offer a cancellation process that’s just as easy as signing up. That means if you enrolled in a subscription online, you must be able to cancel it online, without being forced into a chat with a customer service agent, unless that’s how you originally signed up. The cancellation method must be simple, straightforward, and easy to find.
New York Attorney General Letitia James is urging consumers to take advantage of the new protections and report companies that fail to comply.
“New Yorkers should never have to jump through hoops just to cancel an unwanted subscription,” said James. “This new ‘Click-to-Cancel’ rule will protect consumers and ensure companies are operating fairly.”
In addition to making cancellations easier, the new rule also requires businesses to clearly disclose the terms of automatically renewing subscriptions. Companies must make it clear what consumers are signing up for and ensure all key details are accurate and easy to locate.
Attorney General James has made subscription-related consumer protections a priority. In the past year alone, her office has secured:
- $600,000 in penalties and refunds from Equinox for making it difficult for members to cancel,
- A court victory against SiriusXM in November 2024 for locking New Yorkers into unwanted subscriptions, and
- $740,000 from mental health provider Cerebral in December 2023 for burdensome cancellation practices.
James also played a key role in shaping the new FTC rule, leading a coalition of 26 state attorneys general in support of the changes last year.
New Yorkers who experience difficulties canceling subscriptions are encouraged to file a complaint with the Attorney General’s Office online.
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