this post was submitted on 24 Oct 2024
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Cable companies, advertising firms, and newspapers are asking courts to block a federal "click-to-cancel" rule that would force businesses to make it easier for consumers to cancel services. Lawsuits were filed yesterday, about a week after the Federal Trade Commission approved a rule that "requires sellers to provide consumers with simple cancellation mechanisms to immediately halt all recurring charges."

The 5th Circuit is generally regarded as the nation's most conservative, but the 6th Circuit also has a majority of judges appointed by Republican presidents. When identical lawsuits are filed in multiple circuits, the Judicial Panel on Multidistrict Litigation randomly selects a court to handle the case.

The NCTA cable lobby group, which represents companies like Comcast and Charter, have complained about the rule's impact on their ability to talk customers out of canceling. NCTA CEO Michael Powell claimed during a January 2024 hearing that "a consumer may easily misunderstand the consequences of canceling and it may be imperative that they learn about better options" and that the rule's disclosure and consent requirements raise "First Amendment issues."

"Too often, businesses make people jump through endless hoops just to cancel a subscription," FTC Chair Lina Khan said. "The FTC's rule will end these tricks and traps, saving Americans time and money. Nobody should be stuck paying for a service they no longer want."

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[–] Nougat@fedia.io 12 points 6 days ago

NCTA CEO Michael Powell claimed during a January 2024 hearing that "a consumer may easily misunderstand the consequences of canceling and it may be imperative that they learn about better options" ...

Perhaps the consumer has "learn[ed] about better options" at another company, or that a "better option" for them is to not purchase the service at all from anyone. I'm sure the ... ::flips pages:: ... cable company is offering a completely holistic assessment of the consumer's needs to help them make the best decision for themselves, right?

...and that the rule's disclosure and consent requirements raise "First Amendment issues."

"It is our First Amendment right to browbeat people into ~~not being our customers anymore!~~ staying as our customers when they tell us they don't want to be!"

(edit oops)