The U.S. Court of Appeals for the Eighth Circuit vacated the
FTC's “click to cancel” rule which was set to take
effect on July 14.
According to the court, the FTC erred in its rulemaking process
by failing to produce a preliminary regulatory analysis(a statutory
requirement for rules whose annual effect on the national economy
would exceed $100 million).
The FTC argued that it was not required to prepare the
preliminary analysis because its initial estimate of the
rule's impact on the national economy was under the $100
million threshold — even though ultimately the presiding
officer determined the impact exceeded the threshold. The court
disagreed with the FTC's argument, and vacated the rule.
