Overview
This series explains U.S. subscription-cancellation law after the Eighth Circuit vacated the FTC’s 2024 Negative Option Rule. It separates the procedural reason for vacatur from the rule’s disclosure, consent, and equal-exit design; maps the surviving authorities by plan type, enrollment medium, payment method, and state; and examines the FTC’s March 2026 inquiry. The central boundary is that the 2024 all-media standard is no longer operative, while the 1973 rule, section 5, ROSCA, the Telemarketing Sales Rule, payment and postal laws, and state protections remain relevant in different circumstances. The inquiry gathers evidence for a possible future rule rather than creating one.
Learning outcomes
- The Eighth Circuit vacated the 2024 rule for a prejudicial procedural defect, not because easy cancellation was unlawful.
- After vacatur, legal protection depends on the plan, medium, conduct, payment method, and jurisdiction.
- The restored 1973 rule covers prenotification plans for goods, not modern subscriptions generally.
- The 2026 ANPRM gathers evidence for possible rulemaking; it is not a binding replacement rule.
Keywords
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PlansFAQ
Why was the FTC’s 2024 Negative Option Rule vacated?
The Eighth Circuit held that the FTC skipped a required preliminary regulatory analysis after the proposal crossed the statutory economic threshold, and that the omission prejudiced the rulemaking.
What subscription protections remain after the 2024 rule’s vacatur?
The 1973 rule, section 5, ROSCA, the Telemarketing Sales Rule, EFTA, postal law, and state protections remain relevant, depending on the plan and facts.
Does the FTC’s 2024 rule still require click-to-cancel nationwide?
No. The Eighth Circuit vacated the amended rule in its entirety, so its equal-ease cancellation standard is not the operative nationwide rule.
What does the FTC’s 2026 ANPRM change?
It changes no current legal requirement; it gathers evidence and asks whether to retain, amend, replace, or supplement the existing framework.