Probably the best outcome of "click-to-cancel" being blocked. Instead of requireing the "same" mechanism, now the FTC is just going to care about "simple" via the Restore Online Shoppers’ Confidence Act [1]. Thanks Obama.
> [1] It shall be unlawful for any person to charge or attempt to charge any consumer for any goods or services sold in a transaction effected on the Internet through a negative option feature (as
defined in the Federal Trade Commission’s Telemarketing Sales Rule in part 310 of title 16, Code of Federal Regulations), unless the person— ...
> (3) provides simple mechanisms for a consumer to stop recurring charges from being placed on the consumer’s credit card, debit card, bank account, or other financial account.
> [2] Negative option feature means, in an offer or agreement to sell or provide any goods or services, a provision under which the customer's silence or failure to take an affirmative action to reject goods or services or to cancel the agreement is interpreted by the seller as acceptance of the offer.
A negative option feature is a marketing practice where a seller interprets a customer's silence or failure to act as acceptance of an offer, often used in subscription services. This means that customers may be automatically enrolled in a service unless they explicitly opt out.
lesuorac•5mo ago
> [1] It shall be unlawful for any person to charge or attempt to charge any consumer for any goods or services sold in a transaction effected on the Internet through a negative option feature (as defined in the Federal Trade Commission’s Telemarketing Sales Rule in part 310 of title 16, Code of Federal Regulations), unless the person— ...
> (3) provides simple mechanisms for a consumer to stop recurring charges from being placed on the consumer’s credit card, debit card, bank account, or other financial account.
> [2] Negative option feature means, in an offer or agreement to sell or provide any goods or services, a provision under which the customer's silence or failure to take an affirmative action to reject goods or services or to cancel the agreement is interpreted by the seller as acceptance of the offer.
[1]: https://www.congress.gov/111/plaws/publ345/PLAW-111publ345.p...
[2]: https://www.ecfr.gov/current/title-16/chapter-I/subchapter-C...
m463•5mo ago
A negative option feature is a marketing practice where a seller interprets a customer's silence or failure to act as acceptance of an offer, often used in subscription services. This means that customers may be automatically enrolled in a service unless they explicitly opt out.