FTC Takes Another Step Toward New 'Click to Cancel' Rule

FTC Takes Another Step Toward New 'Click to Cancel' Rule

WASHINGTON — The Federal Trade Commission (FTC) is negotiating the latest procedural hurdle in its effort to renew rulemaking concerning negative option plans, after a federal court previously vacated a “click-to-cancel” rule aimed at making it easier for consumers to cancel online subscriptions.

In a statement issued Friday, the FTC announced that it has submitted a draft Advance Notice of Proposed Rulemaking (ANPRM) concerning its Negative Option Rule to the Office of Information and Regulatory Affairs (OIRA). The OIRA, which is part of the Office of Management and Budget, will review the ANPRM before the FTC can publish it in the Federal Register, at which point consumers will be able to submit comments.

The Commission vote approving the planned ANPRM submission for OIRA review was 2-0. There are currently only two FTC commissioners, leaving three vacant slots. One of the two current commissioners, Chairman Andrew N. Ferguson, previously voted against approving the updated Negative Option Rule, which passed 3-2 in October 2024.

The rule was later vacated by the U.S. Court of Appeals for the 8th Circuit pending further review, after critics objected that the agency exceeded its authority and skirted procedural rules by failing to issue a preliminary regulatory analysis.

In December 2025, the FTC posted a petition for rulemaking from the Consumer Federation of America and the American Economic Liberties Project. The public comment period on the petition ended Jan. 2.

The Negative Option Rule was originally adopted in the 1970s to protect consumers from being automatically enrolled in subscription plans without their consent. As amended in 2024, the rule would have been applied to almost all negative option programs, including automatic renewal and free-to-pay offers. Such changes would likely have required website operators to make substantial changes to sign-up and cancellation practices.

The current reinitiated process could lead to the FTC proposing the same or similar changes.

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

MyMember.site Rolls Out 'TantumPay' Solution

MyMember.site has debuted its TantumPay payment processing solution.

StreamPayments Joins ASACP as Corporate Sponsor

Payment service provider and consultancy firm StreamPayments has signed on as the latest corporate sponsor for Association of Sites Advocating Child Protection (ASACP).

AdultHTML Introduces Custom AI Projects Development Service

AdultHTML has introduced its customizable AI projects development service.

Eporner Must Face Copyright Suit After Judge Affirms Jurisdiction

A U.S. district court has ruled that it has jurisdiction to hear a copyright infringement lawsuit brought by adult website operators against tube site Eporner, even though Eporner is based outside the United States.

BranditScan Launches Public API, Affiliate Program

BranditScan has launched a public API and a new affiliate program enabling creator platforms to integrate the company’s anti-piracy services and earn recurring commissions.

Kenna James, Derek Kage Cap AEBN's Top Stars for 2nd Quarter of 2026

AEBN has revealed its most popular performers in straight and gay theaters for the second quarter of 2026.

Segpay Partners With Corey Silverstein for Legal Services

Segpay has partnered with adult industry attorney Corey D. Silverstein for specialized legal compliance and policy support for its merchant network.

AEBN Reveals Kasey Kei as Top Trans Star for Q2 of 2026

AEBN has named its top trans stars for the second quarter of 2026, with Kasey Kei landing atop the leaderboard.

Missouri Governor Signs Bill Making AV Regulations State Law

Missouri Governor Mike Kehoe signed a bill into law on Thursday requiring adult websites to age-verify users in the state, finalizing a legislative “stamp of approval” for AV rules after Missouri’s attorney general unilaterally imposed similar regulations last year.

Utherverse Launches 'Adult Game Fest' Virtual Convention

Virtual reality and metaverse technology company Utherverse is launching its inaugural Adult Game Fest convention and trade show, taking place Sept. 24-26.

Show More