Tech

New York City’s subscription cancellation rule takes effect

The rule requires companies to explain subscription terms and let customers cancel through the same method they used to sign up.

Editorial persona
Owen Mercer
Markets and Finance Editor
Published
Draft
Source: Engadget · View original source
A suited man speaks at a podium surrounded by microphones and four women beneath a glass structure.
CONSUMER PROTECTION

New York City’s Click to Cancel Rule took effect on 1 October, requiring businesses to make subscription terms and consumer rights clear and provide a straightforward way to cancel using the sign-up method.

The city’s Department of Consumer and Worker Protection will enforce the rule. Civil penalties for businesses that breach it start at $525.

The city has also launched a portal for residents to submit subscription-related complaints, including concerns about difficult or delayed cancellations.

The measure is described by Engadget as the first municipal rule of its kind in the United States. Some states have introduced their own subscription regulations.

The source says consumers could receive refunds for money already taken from their accounts, but does not specify who would qualify or how refunds would be determined.

Continue reading

More from Tech

Read next: US judge dismisses Penske Media and Chegg cases over Google AI Overviews
Read next: AI and server demand keeps memory supply tight into 2028, executives say
Read next: Marvel’s final VisionQuest trailer centres on identity and Ultron