From Yahoo Finance: 2025-05-09 18:42:00

The U.S. Federal Trade Commission is delaying the implementation of a rule that would require businesses to make canceling subscriptions as easy as signing up. The rule, set to take effect on May 14, will now be enforced starting July 14 to give companies more time to comply.

This move by the FTC under Donald Trump aims to balance consumer concerns with business complaints, following enforcement actions and consumer complaints that led to the creation of the rule. The rule requires businesses to obtain consent for subscriptions, auto-renewals, and free trials, with cancellation methods as easy as the sign-up process.

The rule also prohibits companies from requiring consumers to go through a chatbot or agent to cancel subscriptions signed up through an app or website. In-person sign-ups must provide means to cancel by phone or online. The U.S. Chamber of Commerce and major cable, internet, and media companies are among those suing to block the rule.

Read more: FTC hits pause on ‘click to cancel’ rule