FTC Negative Option Offer Comments

May 9

The FTC votes to defer the compliance deadline for the amended Negative Option Rule by 60 days, meaning companies now have until July 14, 2025 to comply with the Rule. The Commission issues a statement on the new deadline.

January 14

The FTC’s final amended Negative Option Rule (aka the “Click-to-Cancel” Rule) becomes effective.

November 15

Final Negative Option Rule is published in the Federal Register. The rule is to become effective on January 14, 2025, and regulated entities have until May 14, 2025 to comply with certain provisions of the rule, including the “Click-to-Cancel” provision.

October 16

FTC announces final amendments to its Negative Option Rule (also referred to as the “Click-to-Cancel” Rule).

June 20

In response to the FTC’s proposed amendments to the Negative Option Rule, TINA.org files a comment supporting the Commission’s proposals but also urging additional revisions to increase the rule’s utility and impact.

December 2

TINA.org submitted a comment to the FTC, which was seeking public comment on ways to improve its existing regulations for negative option marketing, including whether the agency should use its rulemaking authority under the FTC Act to expand the scope and coverage of the existing Negation Option Rule.

In its comment, TINA.org urged the FTC to provide further consumer protection in this area and summarized relevant statistics concerning the scope of the problem (e.g., the growth of consumer complaints regarding free trials).  TINA.org also explained how, in its current form, the FTC’s Negative Option Rule leaves consumers vulnerable to deception and that updating the Rule would be minimally burdensome to companies, essentially requiring them to be straightforward with its customers.