Ad Group Criticizes FTC's Proposed 'Click To Cancel' Rules

The Association of National Advertisers is weighing in against several of the Federal Trade Commission’s proposed “click to cancel” regulations, arguing that they “would hinder innovation and the free flow of commerce without providing commensurate benefits or protections to consumers.”

The group says in a written filing that some of the proposed regulations “would create consumer frustration and unnecessary burdens,” are “out-of-step with the ways businesses and consumers interact,” and “would impose excessive restrictions on sellers’ ability to communicate with their customer base.”

The group’s comments, filed Friday, come in response to a notice the FTC issued in March regarding a set of proposed rules that aim to make it easier for consumers to cancel recurring fees — such as subscriptions that automatically renew.

The agency stated at the time that the proposed rules “would go a long way to rescuing consumers from seemingly never-ending struggles to cancel unwanted subscription payment plans for everything from cosmetics to newspapers to gym memberships.”

Among other proposed mandates, the potential rules would require companies to offer consumers a simple cancellation mechanism and to allow consumers to cancel subscriptions through the same medium that was used to purchase them.

For instance, newspapers that allow people to use an online platform to purchase a subscription would also have to allow online cancellations, under the proposed rule.


Leave a Reply

Your email address will not be published. Required fields are marked *