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NYC's Click-to-Cancel Subscription Rule

Engadget •
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Starting October 1, New York City residents will benefit from a new "Click-to-Cancel" rule aimed at simplifying subscription cancellations. Mayor Mamdani announced the regulation, which mandates that companies offer easy online cancellation methods, mirroring a Federal Trade Commission proposal abandoned last year.

The rule applies to automatic renewal and continuous service subscriptions, requiring clear disclosure of terms and prohibiting charges for returning free promotional items. Violators face penalties starting at $525 per violation and restitution for affected consumers.

This initiative overlaps with existing New York State laws and is part of a broader effort to combat corporate exploitation, including a proposed junk fees rule. The FTC's national click-to-cancel efforts stalled in 2025, leaving such protections to individual states like Utah and California.