Internet & Television Association v. FTC
On October 23, 2024, three major industry groups—the Internet & Television Association, the Interactive Advertising Bureau, and the Electronic Security Association—filed a lawsuit against the Federal Trade Commission (FTC) to challenge its recently implemented "click-to-cancel" rule. This rule is designed to make canceling subscriptions easier, particularly for "negative option programs" that automatically renew unless canceled. The trade groups argue that the rule unjustly categorizes all such subscriptions as "deceptive" unless companies comply with the FTC’s strict new requirements. They contend that the regulation overreaches by attempting to control consumer contract terms broadly across industries, affecting over a billion U.S. paid subscriptions. Describing the rule as “arbitrary” and an “abuse of discretion,” the groups are seeking judicial intervention to block its implementation.