OFFICIALS in a prominent US state have issued a reminder about a law taking effect later this month.
The legislation will benefit consumers, streamlining a shopping process that’s become complicated in recent years.
Americans in one state will see a new online law starting July 14 (stock image)[/caption]
Starting on July 14, the Click-to-Cancel rule from the Federal Trade Commission (FTC) begins, making it simpler to cancel subscriptions that automatically renew.
As part of Click-to-Cancel, companies in New York are required to make the cancellation process equally as accessible and discoverable as enrollment.
That means cancelling is the same as signing up, whether it was done through an online portal, over the phone, or in-person.
Additionally, if a consumer didn’t speak with a staffer directly when signing up for a subscription, they won’t have to when cancelling.
Another aspect of the law demands that businesses ensure consumers know the exact details of what they are signing up for before starting the subscription.
Vital details must be easy to find, accurate, and clearly defined.
ATTORNEY GENERAL’S STATEMENT
New York Attorney General Letitia James emphasized the importance of the law earlier this week.
“New Yorkers should never have to jump through hoops just to cancel an unwanted subscription,” James noted in a press release.
“This new ‘Click-to-Cancel’ rule will protect consumers and ensure companies are operating fairly.”
“I encourage anyone who has a difficult time canceling a subscription to report it to my office, and I will continue to make sure companies throughout our state are following the law,” she continued.
The Attorney General’s Office has an area on its website where official complaint forms can be filed.
While the Click-to-Cancel law is set to be in full swing in New York, it won’t be nationwide, as states decide whether or not to implement it individually.
The Eighth US Circuit Court of Appeals in St. Louis, Missouri, even blocked the rule this month, per Reuters.
The court said that the FTC did not follow protocol when creating it, failing to complete a preliminary analysis of its costs and benefits.
Click-to-Cancel Law
- Created by the Federal Trade Commission to protect consumers
- Requires that companies, gyms, and other businesses make the process to cancel a subscription or service the same as signing up for it
- Information about cancellation must be easily accessible
- An effective date of July 14, 2025, is set for New Yorkers
Several companies are also suing to block the rule.
They include Charter Communications, Comcast, Cox Communications, Disney Entertainment, and Warner Bros Discovery.
PACKAGING PAINS
Another major law went into effect on July 1 for several US states.
It banned the use of polystyrene, better known as Styrofoam, at food vendors.
Vendors typically use the material for packaging and containers, like for cups, bowls, and to-go boxes.
For many of the states, the full extent of the law won’t be in place until July 1, 2026, but most food vendors must follow the law completely or be fined daily fees upwards of $50.
The complete list of states with the Styrofoam ban is as follows:
- California
- Colorado
- Delaware
- Maine
- Maryland
- New Jersey
- New York
- Oregon
- Rhode Island
- Vermont
- Virginia
- Washington
Some, like Maryland, already had the law in place for years, first implementing it in October 2020.
While Styrofoam is cheaper than most biodegradable materials, it can cause significantly negative impacts on the environment, and some studies have linked it to severe health risks, like cancer.
Another ban on a popular grocery item is also in effect for 12 states.
There’s also a “bottle” change in a popular US state as of July 1 that effects shower supplies.
