Insights

Sheppard Mullin Business Trial partner Alejandro Moreno and associate Skylar Stoudt discuss the Biden Administration’s new proposal to make it easier for consumers to cancel unwanted subscriptions and memberships. The “click to cancel” proposal is an effort by the Federal Trade Commission to usher in significant changes to how subscription services operate through stricter guidelines to curb misrepresentations, mandate the clear presentation of crucial information and ensure that consumers are fully aware of their commitments. The proposed amendment pushes for a streamlined cancellation process. If consumers can subscribe online, then businesses will be mandated to make it equally easy to unsubscribe.