New York Attorney General Letitia James today reminded New Yorkers that the Federal Trade Commission’s (FTC) new “Click-to-Cancel” Rule will go into effect on July 14, making it easier for consumers to cancel subscriptions and other services that renew automatically. The rule requires companies to make cancellation at least as simple as enrollment and to allow consumers to cancel using the same method they used to sign up – either online, in person, or over the phone. When canceling a subscription online, the cancellation mechanism must be easy to find, and consumers cannot be forced to chat with an agent if they did not do so when they signed up.
“New Yorkers should never have to jump through hoops just to cancel an unwanted subscription,” said Attorney General James. “This new ‘Click-to-Cancel’ rule will protect consumers and ensure companies are operating fairly. I encourage anyone who has a difficult time canceling a subscription to report it to my office, and I will continue to make sure companies throughout our state are following the law.”
In addition to requiring simple cancellation, the Click-to-Cancel Rule requires companies to make sure that people know what they are agreeing to before they sign up for a subscription that renews automatically. Companies must also make sure that important information about the subscription is truthful, clear, and easy to find. Attorney General James encourages New Yorkers who experience issues canceling a subscription to contact her office by filing a complaint online.
Attorney General James consistently fights to protect New Yorkers from companies offering costly recurring subscriptions that are difficult to cancel. In May, Attorney General James secured $600,000 in penalties from Equinox and refunds for consumers for making it hard for New Yorkers to cancel their memberships. In November 2024, Attorney General James won a lawsuit to stop SiriusXM from trapping New York customers in unwanted subscriptions. In December 2023, Attorney General James secured $740,000 from the online mental health provider Cerebral for its burdensome cancellation process. In June 2023, Attorney General James led a bipartisan group of 26 state attorneys general in submitting a comment letter to the FTC in support of changes to its existing rule. Those changes resulted in the new Click-to-Cancel Rule.
