Are We Stuck With Sneaky Subscription Cancellation Practices? One Attorney Chimes In

The average US adult spends over $1,300 per year on subscriptions, according to CNET’s latest subscription survey. And they’re wasting an average of $252 per year in unused subscriptions. That’s even more than last year’s survey, when the average annual spend was $1,080, and we wasted slightly less — $204 annually. One way to lower that cost is to cancel the services you no longer want, but getting rid of them isn’t always simple. Some companies make it hard for customers to cancel memberships. 

Last year, the Federal Trade Commission’s Click to Cancel rule was struck down, which would have prohibited deceptive subscription cancellation practices and required companies that offer subscription services to make it just as easy to cancel as it is to sign up. The court put a stop to that in July because the FTC didn’t conduct a preliminary regulatory analysis — which is required for rules that could impact the economy by more than $1 million. There’s a chance that could change in the future. 

“The FTC is currently working on a revised Click to Cancel regulation, and FTC Bureau of Consumer Protection Director Chris Mufarriage, I understand, intends to make uniform rules of the road nationwide,” Brian Goodrich, a regulatory attorney at Holland & Knight, told CNET. 

However, the FTC isn’t stopping there. Other legislatures are blocking companies from deceptive subscription cancellation practices.

Check for state consumer protection laws 

If you’re dealing with misleading subscription cancellation or renewal practices, start by checking which state laws apply to consumer protections and subscriptions. I recommend checking your state’s legislative portal and searching for related terms for related acts or laws.

For example, some states have automatic renewal laws that prohibit a company from automatically renewing your subscription without your consent. Some ARLs require clear renewal details, such as the duration, the recurring amount charged, the cancellation policy and how to cancel. Some state laws, such as California’s, also require consent for renewal. 

Maryland enacted a similar law in June 2026 to fight poor subscription renewal and cancellation rates. The law, HB0107, requires companies that offer automatic renewals to allow Maryland residents to cancel the renewal in a cost-effective, timely and easy manner before it renews. And Colorado’s 2025 law, SB25-145, requires online cancellation, consumer consent and any retention offers to include a cancellation link, Goodrich said. Connecticut, Massachusetts and New York are among the states with automatic renewal laws.

The FTC is still stopping deceptive subscription acts

Even though the FTC’s Click to Cancel rule no longer exists, there’s another law that’s been in place since 2010 that the FTC is using to stop businesses from sneaky subscription practices — the Restore Online Shoppers’ Confidence Act. 

ROSCA matters here because most modern subscription problems involve “negative options,” meaning the company treats the consumer’s silence or failure to cancel as permission to continue charging,” Goodrich said. ROSCA is narrower than the vacated FTC rule because it applies to Internet transactions, but it remains a powerful enforcement tool for online subscriptions, free trials, automatic renewals, and other recurring-charge arrangements.

ROSCA says that companies must list the price, billing date and cancellation policy before receiving your credit card details for a service (including a subscription). Before confirming the purchase, the company must provide a way for you to confirm the sign-up. The company is also prohibited from sharing consumers’ information with third parties. 

The most important part of ROSCA is Section 5 of the rule. This prohibits unfair or deceptive acts or practices, Goodrich said. The FTC has interpreted ROSCA’s ‘simple cancellation’ requirement to mean that cancellation should be at least as easy to use as the method the consumer used to sign up,” Goodrich said. Those who violate the act are subject to penalties. Under this rule, the FTC has taken action against Uber and Chegg, as examples. And Section 6 gives the state’s attorney general authority to enforce the rule within their state, too. 

Take these steps to stop sneaky subscription scams

Even if you don’t see a state law your servicer violated, it’s best to take action to raise awareness and stop deceptive practices. Here are a few steps you can take. 

• File a complaint with your state’s attorney general. The FTC has a list of consumer protections, the complaint form and contact information for each state’s attorney general on its web page. You can also file an online complaint with the FTC. 
• If you’re charged for a subscription you canceled, didn’t sign up for, or were still charged for after canceling, check to see if your credit card has purchase or fraud protection to get a refund for the unauthorized purchase. 
• If you have trouble canceling online, call the company’s customer service to cancel. Regardless of how you cancel, make sure you receive a confirmation email and keep an eye on your credit card statement to avoid any future charges. 
• Above all, make sure you read the fine print and ask any questions before you sign up. Check the ‘Manage Subscription’ or ‘Account’ page settings before you commit to a service to see how transparent the cancellation process is.