New York City enforces first US click-to-cancel subscription rule

The rule aims to curb dark-pattern subscriptions and is projected to save New Yorkers tens of millions of dollars each year.

New York City has implemented a “click-to-cancel” rule that forces any business which lets residents sign up for a subscription online to provide an equally simple way to cancel it, making it the first US city to do so. The regulation, enforced by the Department of Consumer and Worker Protection, targets unclear terms, hidden auto-renewals, and cancellation friction, with fines starting at $525 per violation. The city has launched a new portal where residents can submit complaints about deceptive or hard-to-cancel subscriptions, and DCWP staff will review cases, seek refunds, and pursue further investigations when they detect patterns of abuse. NYC estimates the rule could save locals between $21.5 million and $162.5 million a year and hopes it will deter companies from dark-pattern subscription tactics even beyond city limits. DCWP Commissioner Samuel Levine, who previously tried to push a similar rule at the FTC, highlights that New York was able to propose, finalize, and activate the rule within a year, contrasting it with the stalled federal effort struck down on procedural grounds.