Click-to-cancel: Difference between revisions

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A "negative option feature" is defined by the FTC as 'a provision in an offer or agreement to sell or provide any goods or services ‘‘under which the customer’s silence or failure to take an affirmative action to reject goods or services or to cancel the agreement is interpreted by the seller as acceptance of the offer.’’ '<ref name=":0" /> In other words, a service where once a subscription is initiated, the customer will be billed unless they cancel the subscription.

The "Click to Cancel" rule is not limited to online services, as ~~they~~ name might suggest. It includes, but is not limited to "Interactive Electronic Media, telephone, print, and in-person transactions"<ref>https://www.federalregister.gov/documents/2024/11/15/2024-25534/negative-option-rule#sectno-citation-425.1</ref>. The cancellation mechanism must be "at least as simple as consent"<ref>https://www.federalregister.gov/d/2024-25534/p-1164</ref>. The customer may not be required to interact with a representative, whether a real human ~~nor~~ a chat bot, if the customer was not required to do so when they signed up for the service<ref>https://www.federalregister.gov/d/2024-25534/p-1166</ref>. For services which were signed up for in-person, the seller must allow cancellation online or over the phone<ref>https://www.federalregister.gov/d/2024-25534/p-1168</ref>.

The "Click to Cancel" rule is not limited to online services, as the name might suggest. It includes, but is not limited to "Interactive Electronic Media, telephone, print, and in-person transactions"<ref>https://www.federalregister.gov/documents/2024/11/15/2024-25534/negative-option-rule#sectno-citation-425.1</ref>. The cancellation mechanism must be "at least as simple as consent"<ref>https://www.federalregister.gov/d/2024-25534/p-1164</ref>. The customer may not be required to interact with a representative, whether a real human or a chat bot, if the customer was not required to do so when they signed up for the service<ref>https://www.federalregister.gov/d/2024-25534/p-1166</ref>. For services which were signed up for in-person, the seller must allow cancellation online or over the phone<ref>https://www.federalregister.gov/d/2024-25534/p-1168</ref>.

=== Examples of Abuse ===

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 A "negative option feature" is defined by the FTC as 'a provision in an offer or agreement to sell or provide any goods or services ‘‘under which the customer’s silence or failure to take an affirmative action to reject goods or services or to cancel the agreement is interpreted by the seller as acceptance of the offer.’’ '<ref name=":0" /> In other words, a service where once a subscription is initiated, the customer will be billed unless they cancel the subscription.
-The "Click to Cancel" rule is not limited to online services, as they name might suggest. It includes, but is not limited to "Interactive Electronic Media, telephone, print, and in-person transactions"<ref>https://www.federalregister.gov/documents/2024/11/15/2024-25534/negative-option-rule#sectno-citation-425.1</ref>. The cancellation mechanism must be "at least as simple as consent"<ref>https://www.federalregister.gov/d/2024-25534/p-1164</ref>. The customer may not be required to interact with a representative, whether a real human nor a chat bot, if the customer was not required to do so when they signed up for the service<ref>https://www.federalregister.gov/d/2024-25534/p-1166</ref>. For services which were signed up for in-person, the seller must allow cancellation online or over the phone<ref>https://www.federalregister.gov/d/2024-25534/p-1168</ref>.
+The "Click to Cancel" rule is not limited to online services, as the name might suggest. It includes, but is not limited to "Interactive Electronic Media, telephone, print, and in-person transactions"<ref>https://www.federalregister.gov/documents/2024/11/15/2024-25534/negative-option-rule#sectno-citation-425.1</ref>. The cancellation mechanism must be "at least as simple as consent"<ref>https://www.federalregister.gov/d/2024-25534/p-1164</ref>. The customer may not be required to interact with a representative, whether a real human or a chat bot, if the customer was not required to do so when they signed up for the service<ref>https://www.federalregister.gov/d/2024-25534/p-1166</ref>. For services which were signed up for in-person, the seller must allow cancellation online or over the phone<ref>https://www.federalregister.gov/d/2024-25534/p-1168</ref>.
 === Examples of Abuse ===