Consumer Finance Monitor Podcast Episode: A Look at a New Approach to Consumer Contracts
Consumer Finance Monitor Podcast Episode: Reasons Why the CFPB Should Deny the Petition for Rulemaking on Post-Dispute Consumer Arbitration Agreements
The Federal Trade Commission (FTC) finally released its long-awaited Negative Option Rule (the Final Rule), aka the “Click-to-Cancel Rule,” on October 16. The Final Rule was approved by a partisan vote of 3-2, with the two...more
Last year, we wrote about the FTC’s proposal to massively expand the Negative Option Rule to cover any goods or services involving a negative option or automatic renewal plan, including free trials, subscriptions, and repeat...more
Companies that automatically renew customers’ subscriptions or memberships, take note. On October 16, 2024, the Federal Trade Commission (FTC) announced sweeping amendments to the Negative Option Rule, which would apply to a...more
The federal government just fundamentally changed how businesses need to handle recurring subscriptions by unveiling its new “Click-to-Cancel” rule and making it mandatory to simplify cancellation processes. Designed to...more
Companies offering automatic renewal or continuous service terms to consumers subject to California law should review their consent, notice, and cancellation practices. On September 24, 2024, California Governor Gavin...more
On September 24, 2024, Governor Gavin Newsom signed into law Assembly Bill No. 2863, which will further amend California’s Automatic Renewal Law (ARL)....more
California’s already stringent Automatic Renewal Law (“ARL”) will become more demanding in July 2025 when AB 2863, which was signed on September 24, 2024, takes effect. In short, the amendments: (1) expand the scope of the...more
This week, California amended its automatic renewal and continuous service offer law (ARL). Key provisions include the addition of “free-to-pay conversions,” consent obligations, misrepresentation prohibitions, request for...more
On September 24, California Governor Gavin Newsom signed Assembly Bill 2863 into law. The bill amends California’s existing regulations on automatic renewal offers and continuous service offers made to California consumers....more
Automatic renewals continue to be a big priority for state regulators. When companies work to develop strategies to comply with the growing patchwork of specific state laws in this area, they often start by looking at...more
Companies that care about avoiding Federal Trade Commission (FTC) action should take heed. Last month, the FTC announced an $8.5 million settlement with Care.com, resolving claims challenging its advertising claims and...more
In June 2024, the US Federal Trade Commission (FTC) and the Department of Justice jointly filed a complaint under the Restore Online Shoppers’ Confidence Act (ROSCA) in the US District Court for the Northern District of...more
The Digital Markets, Competition and Consumers Act 2024 (DMCCA) has recently received royal assent, following the announcement of the July General Election. We examine the key developments in our previous article. One very...more
On today’s episode of Ad Nauseam Amy and Daniel talk about the FTC’s case against MoviePass and a recent HBO documentary called MoviePass Movie Crash....more
Adobe needs no introduction. It makes the software that enables many of our readers to view this complaint and it makes the software that enables many of our non-readers to touch up photos to make themselves appear more...more
The Federal Trade Commission (FTC) has made clear its focus on automatic renewal programs with high-profile lawsuits in recent weeks, alleging violations of the Restore Online Shoppers' Confidence Act (ROSCA). Below are some...more
The California legislature recently renewed its efforts to regulate automatic renewal programs with proposed amendments to its Automatic Renewal Law (ARL). This development does not follow any lack of attention to this area...more
The Federal Trade Commission (FTC), state attorneys general, and class action plaintiffs continue to scrutinize negative option and continuity offers. Negative option marketing can include pre-notification negative option...more
During the last several years, many states have adopted automatic renewal contract, or ARC, laws for the protection of consumers, driven in large part by new subscription-based contracts sold in digital distribution and...more
It’s that time of year again. Regardless of what you call them—subscriptions, negative option programs, automatic renewals, or continuous service offers—states are continuing to enact and enforce new laws with increasingly...more
Recently, the State of New York enacted SB 5941-B (the “Act”), which revises the general business law, focusing on the obligation of businesses to inform consumers about an impending automatic renewal or continuous service...more
In the United States, consumer-facing companies must comply with not just one set of laws but the laws of all 50 states. Eversheds Sutherland presents periodic consumer-related updates to inform companies entering or already...more
On June 23, 2023, a bipartisan coalition of 26 state attorneys general (AGs) submitted comments in support of the FTC’s amendments to the Negative Option Rule (Rule). Though the AGs assert that the FTC’s requirements under...more
On June 28, the Connecticut governor signed HB 5314 (the “Act”), enacting measures relating to automatic renewal offers and consumer agreements. The Act, among other things, includes newly defined terms such as “automatic...more
In 2017, the FTC announced that Adore Me, an online lingerie company, had agreed to return more than $1.3 million to customers who enrolled in a negative-option membership program offering discounts and other benefits. Almost...more