NYC passes new law legally requiring companies to make cancelling a subscription as simple as signing up

It will now be a lot easier for New Yorkers to cancel unwanted subscriptions thanks to a new law passed in NYC.

There is nothing worse than forgetting to cancel that one subscription or it being more hassle than it's worth to press halt on an upcoming renewal date.

But thanks to the new 'Click to Cancel' rule, it should now be a lot more simple.

New York became the first municipality to adopt a click-to-cancel rule on Thursday (October 1), which means "companies must provide you with a straightforward cancellation process in the same method as sign up."

That means businesses must clearly explain subscription terms to consumers, clearly describe subscribers’ rights when buying or canceling subscriptions, as well as making the cancellation process as straightforward as signing up.

Furthermore, companies are banned from making consumers pay to ship items they give away free of charge.

It should now be a lot easier for New Yorkers to cancel subscriptions (Getty Stock Photo)

Businesses not abiding by the new rules in New York City could face fines of up to $525 per violation, while they may also be required to issue a refund.

Zohran Mamdani, Mayor of New York City, said in a statement: "No one should need 45 minutes of hold music to stop paying for something they never wanted.

“New Yorkers work too hard for their money to have it drained by a subscription they can’t cancel. If a company can take your money with one click, you should be able to get your money back with one click. And now, if they won’t let you cancel, the City is coming for them.”

Meanwhile, Deputy Mayor for Economic Justice Julie added: "This administration is putting its enforcement power behind affordability for working New Yorkers.

"The rule gives DCWP the authority to hold businesses accountable, and the portal gives New Yorkers a straightforward way to ask for help. I thank Commissioners Levine and Gelobter and their teams for delivering both.”

Zohran Mamdani has made life easier for consumers (John Nacion/Getty Images)

DCWP Commissioner Samuel A.A. Levine went on to say that any consumer who commits to a subscription online should 'be able to cancel online' too.

"To any company taking money from working people through subscription tricks and traps: you’re on notice," he added.

"And to New Yorkers struggling to cancel a subscription, file a complaint through our new portal today. We have your back."

Finally, CTO and OTI Commissioner Lisa Gelobter concluded: "Government technology should work for the people, not against them.

"Building this tool in house let us move quickly and design it around what New Yorkers told us they needed. We are proud to partner with DCWP to defend consumers in all five boroughs."