Federal Trade Commission Voted on Friday To delay the implementation of the negative option principle-is known as the “Click Two Cancel” principle, which requires that companies make it easier to cancel the subscription as much as they had to sign up.
The rule, which was Suggested in the first 2023The purpose of businesses selling physical and digital subscriptions-through the flow of sign-up-to-signed sign-up-to-jams-just to find out that later consumers will have to go through too much complicated or timely demand to cancel them.
Under the negative option, business will not force users to cancel subscriptions through a procedure they used to sign up. Companies also need to provide relevant information about the cancellation before collecting customer payment information.
According to FTC, The rule came into action On January 19, but the implementation of some provisions was delayed by May 14. Now the FTC is delaying the implementation of another 60 days by July 14.
The FTC said in a statement, “After a new review of the burden forced to comply with this date, the Commission has decided that the original postponement period is inadequate to calculate the complexity of compliance.”
The Commission voted 3-0 to delay the implementation. FTC has traditionally five commissioners – three from the president’s party and two from the opposition party. But President Donald Trump Two Democratic Commissioners fired In March at the moment he commissioned Trump went to trialDiscussing his firing, violating the example of the Supreme Court that President FTC commissioners cannot fired for no reason.
Despite the delay, the FTC said it would really start the implementation on July 14, when “regular institutions should be complied with.”
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The FTC added, “Of course, if the implementation experience is exposed in rules, the commission is open to amending the rule to solve any such problem.”