Industry groups are suing the FTC to stop its click to cancel rule | The VergeSkip to main contentThe homepageThe VergeThe Verge logo.The VergeThe Verge logo.TechReviewsScienceEntertainmentAIMoreExpandThe homepageThe VergeThe Verge logo.MenuExpandNavigation DrawerThe VergeThe Verge logo.Login / Sign UpcloseCloseSearchTechExpandAll TechAmazonAppleFacebookGoogleMicrosoftSamsungBusinessCreatorsMobilePolicySecurityTransportationReviewsExpandAll ReviewsBuying GuidesDealsGift GuideLaptopsPhonesHeadphonesTabletsSmart HomeSmartwatchesSpeakersDronesScienceExpandAll ScienceSpaceEnergyEnvironmentHealthCOVID-19EntertainmentExpandAll EntertainmentGamesTV ShowsMoviesAudioAICarsExpandAll CarsElectric CarsAutonomous CarsRide-SharingScootersOther TransportationFeaturesVideosExpandAll VideosYouTubeTikTokInstagramPodcastsExpandAll PodcastsDecoderThe VergecastNewslettersExpandAll NewslettersCommand LineInstallerNotepadVerge DealsStoreSubscribeFacebookThreadsInstagramYoutubeRSSThe VergeThe Verge logo.Guess who’s suing the FTC to stop ‘click to cancel’Comments DrawerPolicy /LawGuess who’s suing the FTC to stop ‘click to cancel’The cable industry, home security companies, and advertisers are suing to stop a rule requiring making it easier to cancel subscriptions.The cable industry, home security companies, and advertisers are suing to stop a rule requiring making it easier to cancel subscriptions.by  Wes Davis and  Richard LawlerOct 23, 2024, 10:15 PM UTCLinkFacebookThreadsIllustration by Laura Normand / The VergeThree industry groups, the NCTA, the Electronic Security Association (ESA), and the Interactive Advertising Bureau (IAB), are suing to prevent the Federal Trade Commission (FTC) from enforcing its new “Click to Cancel” rule that requires companies to make it easy to cancel subscriptions. Their complaint (included below) alleges the rule is “arbitrary, capricious, and an abuse of discretion,” as reported previously by Reuters. Under click to cancel, if you sign up online, you must be allowed to cancel online rather than needing to call a support line, write a letter, or show up in person. Most aspects of this expansion of the Negative Option Rule will go into effect 180 days from its entry into the Federal Register, assuming it isn’t blocked.RelatedWhat SCOTUS just did to broadband, the right to repair, the environment, and moreAnd yes, the groups opposing it represent exactly the names you’d expect, with member companies who profit from subscriptions that are easy to start and harder to stop.The NCTA - Internet and Television Association represents service providers like Comcast, Charter, and Cox and entertainment studios like Disney, AMC, Paramount, and Warner Bros. Discovery. The IAB’s 700 members include almost any company connected to advertising, with Google, Netflix, Amazon, Meta, Vizio, and the NFL among its board members, while the ESA covers home security giants like ADT.The groups’ lawyers argue that the FTC is trying to “regulate consumer contracts for all companies in all industries and across all sectors of the economy” by attempting to forbid businesses from making customers cancel services using a method that differs from how they signed up.Recent Supreme Court decisions like overturning Chevron deference and a 2022 decision strengthening the “major questions” doctrine have stripped authority from regulators to tackle issues that legislators have yet to cover. Meanwhile, well-funded industries can roadblock consumer and environmental protections with lobbying and lawsuits like this.Disclosure: Comcast is an investor in Vox Media, The Verge’s parent company.Correction, October 24th: An earlier version of this article misstated the name of one of the industry groups, it is NCTA - Internet and Television Association, not Internet and Television Association. 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