The Federal Trade Commission (FTC) is postponing a rule expected to make it easier for consumers to cancel subscription services and memberships, giving businesses additional time to comply.
On Friday, the FTC said it will it would delay enforcement of the “Click to Cancel” rule, formally known as the Negative Option Rule, by 60 days, pushing the compliance deadline to July 14, 2025.
The rule was unveiled in October 2024 and went into effect on Jan. 19, 2025. It requires businesses obtain a consumer’s express, informed consent before enrolling them in a “negative-option” program where a lack of action is treated as agreement, such as free trials that automatically converts into paid subscription unless canceled or pre-checked boxes that add services unless manually unchecked….