The End of the 'Click-to-Cancel' Rule
The End of the 'Click-to-Cancel' Rule
In a recent ruling, the Eighth Circuit Court of Appeals has struck down the 'click-to-cancel' rule implemented by the Federal Trade Commission (FTC) under former Democratic Chair Lina Khan. This decision has caused quite a stir in the online business world, as the rule required companies to provide a clear and easy way for customers to cancel subscriptions. The court stated that the FTC did not have the authority to pass this rule, and it should have been done through proper legislation. This ruling has significant implications for both businesses and consumers.
The FTC's Subscription Cancellation Rule
The FTC's rule, passed in 2010, was meant to protect consumers from being trapped in ongoing subscriptions without a clear way to cancel. It required companies to have a prominent 'click-to-cancel' button on their websites, making it easy for customers to end their subscriptions. However
About the Organizations Mentioned
Eighth Circuit Court of Appeals
The **United States Court of Appeals for the Eighth Circuit** is a key federal appellate court within the US judicial system, serving as an intermediate level court that reviews decisions from district courts across seven Midwestern states: Arkansas, Iowa, Minnesota, Missouri, Nebraska, North Dakota, and South Dakota[1][2][5]. It primarily ensures that laws are applied consistently and fairly by correcting legal errors made in trial courts and overseeing appeals from federal administrative agencies[1][3][7]. Established in 1891, the Eighth Circuit is based mainly at the Thomas F. Eagleton United States Courthouse in St. Louis, Missouri[4][5]. The court originally had thirteen active judgeships, but currently consists of **11 active judges** appointed for life, reflecting the court’s significant judicial authority. Judges serve with lifetime tenure, providing stability and continuity in appellate jurisprudence[1][5]. The court’s leadership includes a chief judge selected based on seniority, age, and service criteria, who serves a term of seven years or until age 70[5]. The Eighth Circuit handles a broad array of cases, including civil and criminal appeals as well as appeals involving federal agencies. Its jurisdiction covers a vast geographic region and a diverse population, making it influential in shaping federal law in the Midwest[1][2]. The court follows strict procedural rules for appeals to ensure orderly and fair review processes, including the filing of a Notice of Appeal and compliance with local and federal appellate rules[2][6]. Historically, the court has played a role in significant legal matters, including those related to civil rights and federal regulatory issues, contributing to important precedents. The court’s location in St. Louis also ties it to notable legal landmarks such as the Old St. Louis Courthouse, known for the Dred Scott case, symbolizing its deep roots in American legal history[4]. For business and technology professionals, the Eighth Circuit is particularly relevant as it adjudicates federal cases