Disney, Netflix and others are fighting the FTC’s ‘click to cancel’ proposal.


Disney, Netflix and other media and entertainment giants. Pushing back against the FTC’s “click to cancel” proposal (Warning: source paywalled; Alternative source) That makes it easier for people to cancel streaming, gaming, and other services. Insider reports: Gymnasiums and news outlets are among the worst offenders. The FTC went after individual companies; Amazon recently sued. Following this FTC proposal In March, to issue a regulation intended to “make it easier for users to cancel their registration as it was to register.” The policy covers both digital and physical subscription providers, from streaming providers and gym memberships to phone companies and cable TV distributors. of New law Companies are required to provide an easy way for users to cancel subscriptions the same way they signed up. For example, if you sign up for the service online, you don’t have to cancel the service either in person or over the phone. “I can’t tell you how much time I’ve spent trying to cancel subscriptions, let alone the cost I wanted!” Someone wrote Opinion to the FTC.

The Internet and Television Association, which counts Disney, Paramount and Warner Bros. Discovery as members, said in a public comment that the proposed reg was too vague, would cause marketers to over-describe, “flood” and “confuse” consumers. The union argued that it would infringe on the freedom of speech of its members. “The proposal would also significantly reduce or, in some cases, prevent companies from interacting with their customers,” the association wrote. SiriusXM wrote in its comments that one proposed requirement — requiring companies to keep records of phone calls with customers — would cost the company “several million” dollars a year to comply. The Entertainment Software Association, a video game trade organization, said the FTC’s disclosure requirements “interfere with game play and customer enjoyment.” ESA wrote that “most consumers understand auto-renewal offers and are aware and willing to participate in the marketplace” and that allowing customers to cancel immediately prevents member companies from offering alternative plans or offers. ESA was joined in its comments by members of the Digital Media Association and the Motion Picture Association, whose members include Netflix, Sony Pictures Entertainment and Universal Pictures. The FTC will review the feedback it receives from the public before considering a final rule.

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