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US Court nullifies FTC requirement for click-to-cancel (arstechnica.com)

604 points by gausswho · 386 days ago · 559 comments on HN

Article summary

A US federal appeals court has struck down a 'click-to-cancel' rule proposed by the Federal Trade Commission (FTC) that would have required companies to make cancelling services as easy as signing up. The court ruled that the FTC failed to follow the required rulemaking process under US law. The rule was intended to protect consumers from unfair and deceptive practices in negative option marketing. The FTC's failure to conduct a preliminary regulatory analysis was a key factor in the court's decision.

Main themes

  • FTC rulemaking process
  • consumer protection
  • regulatory analysis
  • corporate accountability
  • political influence
  • technological implementation
  • economic impact
  • legal thresholds

What commenters say

  • The FTC's failure to follow proper procedures has undermined a rule that would have benefited consumers.
  • The 'click-to-cancel' rule is a good idea, but it should be implemented through proper legal channels.
  • The current FTC is unlikely to prioritize consumer protection due to its composition and political leanings.
  • The rulemaking process is flawed and allows companies to exploit loopholes and avoid accountability.
  • The estimated costs of implementing the 'click-to-cancel' rule are not a significant burden for most companies.
  • The process of adding a cancellation button to a website or system can be complex and time-consuming, especially for large companies.
  • The 'click-to-cancel' rule is necessary to prevent companies from taking advantage of consumers through deceptive practices.
  • The threshold for requiring a preliminary regulatory analysis should be revisited and potentially adjusted for inflation.