New York City Enacts ‘Click-to-Cancel’ Rule to Ban Subscription Traps and Junk Fees

New York City Mayor Zohran Mamdani announced a new rule requiring businesses to allow customers to cancel subscriptions with the same ease as signing up. The regulation, called the 'Click-to-Cancel' rule, targets predatory subscription traps and junk fees.

The rule takes effect on October 1, 2026. It mandates that companies provide a simple, straightforward cancellation process, such as a single click or a phone call, without requiring customers to navigate complex menus or speak to retention agents.

The measure aims to protect consumers from deceptive practices where businesses make it difficult to end recurring charges. Violators may face fines or other penalties under the city's consumer protection laws.

Mayor Mamdani stated that the rule will help New Yorkers avoid unwanted charges and regain control over their finances. The city plans to educate businesses about compliance before the enforcement date.