FTC To Hold Automatic Renewal Rule Hearing

On January 16, 2024, the Federal Trade Commission ("FTC") will hold a virtual informal hearing on proposed amendments to its current automatic renewal rules. Many businesses will be paying close attention to one proposal in particular: the addition of a "click to cancel" provision, requiring sellers to make it as easy for consumers to cancel their enrollment as it was to sign up. The "click to cancel" provision is one of a few proposed provisions aimed at updating automatic renewal rules to address what the FTC deems is a "seemingly never-ending struggle[] to cancel unwanted subscription payment plans." The public will be able to attend the hearing on the FTC's website. Currently, six nongovernmental organizations are scheduled to speak on issues related to the proposed automatic renewal rulemaking.