--- title: "Government Working to Punish Companies That Make It Hard to Cancel Subscriptions" description: "Tired of pesky subscriptions that make it near-impossible to cancel? That practice may become illegal, thanks to a new FTC rule proposal that just dropped." date: "2023-03-26" modified: "2023-03-26" authors: - name: "Noor Al-Sibai" job_title: "Senior Staff Writer" link: "https://futurism.com/authors/nooralsibai" url: "https://futurism.com/the-byte/ftc-rule-subscription-cancelation" categories: - "Future Society" tags: - "e-commerce" - "ftc" - "subscription service" - "the digest" --- # Government Working to Punish Companies That Make It Hard to Cancel Subscriptions ![Tired of pesky subscriptions that make it near-impossible to cancel? That practice may become illegal, thanks to a new FTC rule proposal that just dropped.]() *\Image: Getty / Futurism\* ## Subscription Breakers Tired of those pesky subscriptions that sound like a great deal, but make it incredible difficulty to cancel? That practice may become punishable by law, thanks to a new Federal Trade Commission (FTC) rule proposal that just dropped. In a [press release](), the FTC said that its new "click to cancel" rule will require sellers to "make it as easy for consumers to cancel their enrollment as it was to sign up" — and will be applicable to gym memberships and subscription services, too. "Some businesses too often trick consumers into paying for subscriptions they no longer want or didn’t sign up for in the first place," FTC Chair Lina M. Khan said in the release. "The proposal would save consumers time and money, and businesses that continued to use subscription tricks and traps would be subject to stiff penalties." ## Type Option Negative Part of an ongoing update process to its Negative Option Rule that was signed into law in 1973, the "click to cancel" rule would not only change the game on aggressive subscription services, but would also have a provision that returns money to affected consumers, too. This sort of tit-for-tat rule — which will need to undergo a review process and be signed into law — will require businesses to let consumers cancel their subscriptions in whichever medium they used to sign up, be it online, in-person, over the phone, or via snail mail, which apparently some people still do. Repeat offenders would be subject to "stiff penalties," the press release states, although it didn't go into detail about what those penalties would be. ## Pitch Perfect While it won't outright bar the practice of customer service associates trying to dissuade consumers from canceling by offering discounts or other perks, it will severely limit it, the release notes. "Before making such pitches, sellers must first ask consumers whether they want to hear them," the press release notes. "In other words, a seller must take 'no' for an answer and upon hearing 'no' must immediately implement the cancellation process." As [*Ars Technica* notes](), there was one dissenting Republican on the four-person FTC board who suggested that some people "prefer and enjoy" having to haggle when ending their subscriptions — but thankfully, she was overruled. **More on government rules:** [*Scientists Discover That Toilet Paper Contains Toxic "Forever" Chemicals*]() ## Author At Futurism, I've often been drawn to unpacking the narratives that underlie technological, scientific and medical progress, with a special interest in areas of conflict and ambiguity that end up setting agendas and steering the fates of both elites and the hoi polloi. I'm a committed generalist, but I often find myself returning to work involving NASA and the private space sector, the effects of AI on media and society, and the mechanics of the pharmaceutical industry, with a specific focus on the spread of GLP-1 drugs like Ozempic and Wegovy. Prior to Futurism, I worked for publications ranging from Media Matters and Truthdig to Raw Story and Bustle. I'm also the author of "Myspace Scene Queens," a 2024 title in Instar Books' acclaimed "Remember the Internet" series. My work at Futurism has been cited by outlets including the New Yorker, Slate, Nieman Lab, the Verge, the MIT Technology Review, the Sunday Times, and the Daily Beast. I grew up in North Carolina, attended the University of North Carolina at Asheville, and now live in Brooklyn, New York. In my free time, I'm an avid reader and music fan; you can probably find me at a local poetry reading, concert, underground rave, or DJ set. I'm the proud parent of an ineffable orange cat named Mee-Mow. ### Author social links [Bluesky]()