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Subscription Services Corporate Counsel

Loeb & Loeb LLP

Match Group’s $14 Million Lesson: Even Without “Click-to-Cancel,” Subscription Companies Can’t Play Hard to Get

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Last week, Match Group Inc., the powerhouse behind Match.com, OkCupid, Plenty of Fish and The League, agreed to shell out $14 million and revamp its cancellation policies, ending a nearly six-year showdown with the Federal...more

BakerHostetler

Negative Option Rule No More: How To Comply in the Wake of the Eighth Circuit’s Decision

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As promised in last week’s blog that covered the Eighth Circuit’s decision to vacate the Federal Trade Commission’s (FTC) Negative Option Rule (Click-to-Cancel Rule or Rule), we are back with some practical insights on and...more

Venable LLP

Eighth Circuit Cancels FTC Negative Option Rule: What Does It Mean?

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The U.S. Court of Appeals for the Eighth Circuit vacated the Federal Trade Commission’s Rule Concerning Subscriptions and Other Negative Option Plans (often referred to as the “Click-to-Cancel” rule) on July 8, just days...more

Proskauer - Advertising Law

Subscription Shake-Up: Navigating the FTC’s Click-to-Cancel Rule

In October 2024, the Federal Trade Commission (“FTC”) updated its 1973 Negative Option Rule to address unfair and deceptive online subscription practices. See 16 C.F.R. § 425 (2024) (the “Negative Option Rule” or the “Rule”)....more

Lowenstein Sandler LLP

FTC "Click-To-Cancel" Rule Coming Soon

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The Federal Trade Commission’s final “click-to-cancel” rule, which goes into effect on May 14, 2025, attempts to address the difficulties consumers may face when trying to cancel an automatically renewing subscription. The...more

Fisher Phillips

FTC’s New Click-to-Cancel Rule Means Your Business Needs to Simplify the Cancellation Process: 5 Steps to Stay Compliant

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The federal government just fundamentally changed how businesses need to handle recurring subscriptions by unveiling its new “Click-to-Cancel” rule and making it mandatory to simplify cancellation processes. Designed to...more

Venable LLP

Handle Autorenewal Programs with Care: Federal Trade Commission Targets Care.com for Alleged Dark Patterns and Earnings Claims

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Companies that care about avoiding Federal Trade Commission (FTC) action should take heed. Last month, the FTC announced an $8.5 million settlement with Care.com, resolving claims challenging its advertising claims and...more

BakerHostetler

Dark Patterns Go International: FTC and International Consumer Protection Networks Conduct Sweep of ‘Deceptive Design Practices’...

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On July 10, the Federal Trade Commission (FTC) announced the results of two global internet sweeps that examined the prevalence of certain deceptive design practices, or “dark patterns,” within a variety of websites and...more

Faegre Drinker Biddle & Reath LLP

New UK Consumer Laws on Fake Reviews, Subscription Contracts and Drip Pricing: Impact on US Businesses

In May of this year, the UK Government passed the Digital Markets, Competition and Consumers Act (DMCC) into law. The DMCC is wide-ranging and covers three key areas: consumer law, digital markets, and merger and antitrust...more

Ballard Spahr LLP

The Iliad Flows: Federal Judge Allows FTC “Dark Patterns” Suit Against Amazon to Proceed

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In a lengthy ruling, a Seattle federal judge has allowed the Federal Trade Commission (FTC) to proceed with its groundbreaking case alleging that Amazon’s Prime online subscription marketing tactics constituted deceptive...more

Perkins Coie

Top Advertising Law Trends for 2024

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With the first quarter of 2024 in full swing, it is a good time for brands to revisit marketing compliance strategies to minimize the risk of potential class actions, regulatory enforcement actions, and competitor challenges....more

Venable LLP

Your 2024 Outlook: California’s Enforcement Trends and New State Laws Governing Automatic Renewal Programs

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It’s that time of year again. Regardless of what you call them—subscriptions, negative option programs, automatic renewals, or continuous service offers—states are continuing to enact and enforce new laws with increasingly...more

Proskauer - Advertising Law

That’s a “Wrap”: Second Circuit Upholds Click-Wrap Mandatory Arbitration Provision

This past Friday, the Second Circuit reversed a lower court’s denial of a motion to compel arbitration in a putative consumer class action against fintech company Klarna. Edmundson v. Klarna, Inc., Case No. 22-557-cv (2d...more

Venable LLP

Click to Cancel: FTC Proposes New Rule Regulating Subscription Services and Negative Option Programs with Broad Implications

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Last week, the Federal Trade Commission announced that its proposed rule replacing its Prenotification Negative Option Rule would result in new, expansive requirements for all forms of negative option offers, including...more

Sheppard Mullin Richter & Hampton LLP

Negative Option Practices Under Increased Scrutiny in the US

Retailers and service providers with US business operations should take note: the Federal Trade Commission (FTC) is increasing its scrutiny of negative option marketing activity to combat unfair or deceptive practices related...more

Sheppard Mullin Richter & Hampton LLP

CFPB: Negative Option Marketing Practices May Violate CFPA

On January 19, the CFPB issued Circular 2023-01 to affirm that companies offering “negative option” subscription services are required to comply with federal consumer financial protection laws. According to the Circular,...more

Venable LLP

Payment Processors: Are You Prepared to Uncover "Dark Patterns"?

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Risk management personnel who underwrite e-commerce merchants should have some basic understanding of the types of online merchant marketing and sales practices that are deceptive and misleading....more

Troutman Pepper Locke

CFPB Files Action Against Online Event Registration Company for Alleged “Digital Dark Patterns” and “Online Trickery”

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On October 18, the Consumer Financial Protection Bureau (CFPB) filed a complaint in a Texas federal court against Active Network LLC (Active) for allegedly tricking people, when trying to sign up for a fundraising race or...more

Hinch Newman LLP

eCommerce Attorney Tips Regarding Recent Automatic Renewal Law Developments

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For years, the Federal Trade Commission has aggressively enforced the Restore Online Shoppers’ Confidence Act against digital marketers that offer Internet-based automatic renewals and subscriptions. In short, ROSCA requires...more

Fenwick & West LLP

Changes to California’s Automatic Renewal Law May Require Updates for Subscription Service Providers

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Subscription services face increased scrutiny from regulators, lawmakers and the plaintiffs’ bar. As we highlighted in a recent client alert, the FTC warned companies against using “dark patterns” in connection with paid...more

Kelley Drye & Warren LLP

FTC Announces $10 Million Settlement Over Automatic Renewals

We’ve written about automatic renewals before, but the $10 million price tag in the FTC’s settlement with the operators of ABCmouse should grab your attention. The FTC alleged that over a three-year period, the company...more

Seyfarth Shaw LLP

No Rest For The Plaintiffs’ Bar: Companies Using Automatic Renewal Business Model With California Consumers Face Increased Risk of...

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Companies responding to the pandemic are faced with the challenges of not only complying with federal, state, and local emergency orders and guidelines for each location in which they operate, but also ensuring that any...more

Smart & Biggar

Federal Court issues unprecedented site-blocking order requiring Internet Service Providers to impede access to piracy services

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On November 15, 2019, the Federal Court issued an Order compelling Canada’s primary Internet service providers (“ISPs”) to block their subscribers from accessing two Internet services that distribute infringing television and...more

Womble Bond Dickinson

Either “Called Party” Will Do: Consent from Subscriber Husband Defeats Wife’s TCPA Claim Even Though She Was the Customary User of...

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Its a factual scenario that arises far more than it should. A customer provides a cell phone number to a business, consenting to receive phone calls in the process. Phone calls are placed to that customer at that number. But...more

Seyfarth Shaw LLP

California Court “Swipes Left” And Reverses Tinder’s Age-Based Price Discrimination Win

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Seyfarth Synopsis: In a class action lawsuit alleging that Tinder discriminated on the basis of age in violation of California state laws by charging consumers age 30 and over a higher price for Tinder Plus subscriptions, the...more

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