New York City’s click-to-cancel regulation took effect this week, following legislation championed by Mayor Zohran Mamdani in July. The rule mandates that businesses simplify cancellation processes to match the ease of signup—a direct response to the pervasive “subscription traps” where companies enable effortless enrollment but impose labyrinthine hurdles for exit.
“The rule forbids companies from letting you breezily click a few boxes to sign up online, while requiring you to navigate a byzantine network of phone calls and carrier pigeons to unsubscribe,” the city explained in an official blog post.
Beginning today, the first-in-the-nation Click to Cancel Rule is now in effect!
Our @NYCOfficeofTech worked with @helloDCWP to roll out a new portal that will make it easier AND faster for New Yorkers to submit complaints about those pesky subscriptions. pic.twitter.com/TYINqj9XMD
— NYC Office of Technology and Innovation (@NYCOfficeofTech) October 1, 2026
This marks the first municipal-level consumer protection of its kind in the United States, though several states have adopted similar measures. The New York City framework mirrors federal protections proposed under former FTC Chair Lina Khan—an initiative ultimately blocked by the Trump-era FTC and a federal appeals court. Khan now serves as unpaid chair of the New York City Economic Development Corporation board under the Mamdani administration, explaining the policy alignment.
Enforcement falls to the Department of Consumer and Worker Protection. Violators face civil penalties starting at $525, and consumers may become eligible for refunds on prior unauthorized charges.
Effective immediately, companies must clearly disclose subscription terms and all consumer rights regarding enrollment and cancellation. They must provide a straightforward cancellation method “in the same method as sign-up” and cannot require consumers to return items originally provided for free.
Residents can report noncompliance through a dedicated complaint portal, citing difficulties canceling or unreasonable delays in processing cancellations. Local fitness chains—including Planet Fitness, Crunch, and LA Fitness locations—will need to adjust their practices promptly to comply.
