New York City moves to adopt ban of deceptive subscription practices
www.theguardian.com
Mamdani administration seeks to ban companies from trapping customers into paying recurring charges and ‘junk fees’

New York City has adopted a new rule that bans companies from using deceptive subscriptions to trap customers into paying for gym memberships, streaming services and other recurring charges, the city’s consumer protection office said.

The new rule, which will start on 1 October, promises hefty fines and aggressive enforcement for violators. Companies that do not provide a simple way to cancel could pay $525 per user subscription, back fees and additional fines.

The city is also targeting so-called “junk fees” that raise the final price of everything from apartments to sporting events, with a proposed rule that requires sellers to “advertise the total price for any good or service, including all mandatory additional charges and fees, up front”, according to a release shared with the Guardian.

New York would be the first US city to implement such a ban.

      • Aatube@piefed.socialEnglish
        14·
        3 days ago

        the article mentions this y’all

        A national click-to-cancel rule introduced by the Biden administration was struck down by a federal judge in 2025, days before it was set to go into effect, over a procedural rule. Donald Trump’s FTC plans to pass a similar rule in coming months.

        https://www.consumerfinancemonitor.com/2025/07/23/eighth-circuit-voids-ftc-click-to-cancel-rule/ :

        Under federal law, the FTC must issue a preliminary regulatory analysis when a proposed rule would have an annual effect on the national economy surpassing $100 million. The FTC said that the rule would not have an annual $100 million impact on the economy. However, an Administrative Law Judge found that the proposed rule would have an annual effect surpassing the $100 million threshold. The FTC was not excused from having to prepare the analysis if its initial economic analysis was deemed inaccurate, the judges wrote. They said that after the Administrative Law Judge’s decision, the FTC could have reissued its Notice of Proposed Rulemaking with the required preliminary analysis.

        • AA5B@lemmy.worldEnglish
          1·
          16 hours ago

          the proposed rule would have an annual effect surpassing the $100 million threshold.

          Goddam, deceptive subscriptions steal a lot of money every year

        • Triumph@fedia.io
          7·
          3 days ago

          “Whoa, slow down there! You’re going to have to take the time to do a study on exactly how much money these deceptive practices will not be able to collect if the deceptive practices are banned!”