Kathleen Greenler Sexton’s Post

For executives in the subscription industry, this new rule represents a clear indication of the regulatory direction the federal government is taking under the “Time Is Money” initiative. Read more 👉 https://lttr.ai/AWDyy #subscriptionmodel #subscriptioninsider #subscriptioneconomy #subscription #subscriptionbusiness #subscriptionservice #memberships #b2b #b2c #autorenew #compliance #news

As the federal government continues to roll out regulations under the “Time Is Money” initiative, businesses should prepare for increased scrutiny and take proactive steps to align their practices with the new regulatory landscape Read more 👉 https://lttr.ai/AWIEE #subscriptionmodel #subscriptioninsider #subscriptioneconomy #subscription #subscriptionbusiness #subscriptionservice #memberships #b2b #b2c #autorenew #compliance #news

Exciting news for all who value transparency and ease in their consumer experiences! The FTC is implementing a new rule that simplifies the cancellation process for subscriptions and memberships. Companies that make the cancellation process a maze will face civil penalties. Let's continue to demand simplicity and transparency in all our business transactions. https://lnkd.in/eUtrbUNV #FTCRules #consumerprotection #transparency

Hot on the heels of California's new subscription legislation, the FTC's long-awaited final Rule Concerning Recurring Subscriptions and Other Negative Option Programs is here, and it’s changing the game for subscription-based businesses. The new rule applies to nearly all negative option marketing – whether online, over the phone or in person. In this alert, I and my colleague Alexa Meera Singh break down everything marketers need to know (spoiler alert, there are some important deviations and clarifications to the proposed Rule that came out in March 2023 - especially regarding consumer save attempts, B2B applicability, and misrepresentation of material terms, so read the full analysis to stay ahead of the curve!) 📄 https://lnkd.in/esEKHEna #SubscriptionBusiness #MarketingLaw #NegativeOption #ClicktoCancel

The FTC has issued its Final Rule which revises its previous “Negative Option Rule” now known as the “Rule Concerning Recurring Subscriptions and Other Negative Option Programs.” The Rule requires that businesses selling subscriptions and other similar products refrain from engaging in certain prohibited conduct, provide mandatory consumer disclosures about transactions, obtain a consumer’s express informed consent prior to engaging in a transaction, and mandates a simple cancellation procedure, among other requirements. In her latest Alert, MHH Partner Terese L. Arenth provides a detailed overview of the Rule, its implications and legal challenges. Read the full Alert here: https://lnkd.in/em_6vWn7 #ftc #compliance #marketing #advertising

Do you engage in negative option marketing? Are you familiar with the FTC's recent Final Click to Cancel Rule? Read my latest alert below to find out what you need to know... #marketing #advertising #ftc #compliance

The Federal Trade Commission has made a big move: fake reviews and testimonials are officially banned. While this ruling largely focuses on consumer protection, its implications stretch far beyond DTC and B2C—right into the heart of B2B. While this ruling specifically calls out fake reviews and celebrity endorsements, it underscores a bigger truth that buyers are skeptical, informed, and tired of being sold to with fluff. The writing is on the wall for quantity > over quality star ratings, generic testimonials, and “glowing” reviews. And if you're not already evolving your approach to customer evidence to meet buyers where they're headed, consider this your wake up call 👉 https://bit.ly/4e714v7

The FTC has announced its new Click to Cancel rule, aimed at making it easier for consumers to end recurring subscriptions. It will be interesting to see the implications on consumer protection regulations and how this will shape industry practices moving forward. #compliance #riskmanagement

The new Digital Markets, Competition and Consumers Act (DMCC Act) is set to significantly impact consumer-facing businesses with fines up to 10% of turnover for non-compliance. This act, coming into effect this autumn, introduces enhanced consumer rights, bans on fake reviews, and stringent measures against hidden fees. Businesses must prepare now to meet these new standards and avoid severe penalties. Stakeholders should engage in the ongoing consultation to help shape fair and effective enforcement. #ConsumerProtection #DMCCAct #Compliance

The FTC plans to expand the Negative Option Rule to cover all goods and services with a negative option feature, like free trials and subscriptions. Key requirements include: 1. Prohibition on Misrepresentations 2. Mandatory Disclosures 3. Express Affirmative Consent 4. Simple Cancellation. The rule passed 3-2, with concerns about its impact on businesses. Effective dates are staggered: disclosures, consent, and cancellations within 180 days, misrepresentation prohibitions within 60 days. Companies must align with these requirements and relevant state regulations. #FTCRules #ConsumerProtection #BusinessRegulations #NegativeOption