New York City Unveils Streamlined Subscription Cancellation Policy Under Mayor Mamdani

The rule revives a proposed FTC protection that was abandoned last year.

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New York City Mayor Mamdani has introduced a “Click-to-Cancel” regulation requiring companies to offer simplified cancellation processes for subscriptions. Enforced by the Department of Consumer and Worker Protection, the rule mandates clear disclosure of terms and prohibits complex cancellation barriers, such as phone call requirements. Businesses violating the rule face penalties of at least $525 per instance, with the policy specifically targeting automatic renewal subscriptions.

The regulation aligns with New York State laws and complements a separate “junk fees” initiative set for public comment on August 7. This move reflects ongoing efforts to combat corporate practices that obscure costs or complicate consumer rights, building on prior FTC proposals under former chair Lina Khan.

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