Federal Crackdown Begins On Streaming Services’ Cancellation Policies

The Federal Trade Commission has implemented a new “click to cancel” rule to make it easier for consumers to end subscriptions and memberships, aimed at preventing drawn-out cancellation processes. The rule aims to eliminate deceptive practices and requires businesses to provide simple cancellation mechanisms. The rule, which takes effect in 180 days, also addresses the manipulation of user interfaces to hinder cancellation, as seen in the case of Amazon Prime. The changes have received support from consumers and opposition from industry associations, with the FTC emphasizing the importance of ending tricks and saving time and money for Americans. (THR)