The Guardian · US news · Original story
New York City to become first in US to ban deceptive subscription practices
Rule from Mamdani administration bans companies from trapping customers into paying recurring charges and also targets ‘junk fees’
New York City has adopted a new rule that bans companies from using deceptive subscriptions to trap customers into paying for gym memberships, streaming services and other recurring charges, the city’s consumer protection office said.
The new rule, which will start 1 October, promises hefty fines and aggressive enforcement for violators. Companies that do not provide a simple way to cancel could pay $525 per user subscription, back fees and additional fines.
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Heather Timmons · Fri, Jul 10, 2026, 4:00 AM
US news | The Guardian
Rule from Mamdani administration bans companies from trapping customers into paying recurring charges and also targets ‘junk fees’
New York City has adopted a new rule that bans companies from using deceptive subscriptions to trap customers into paying for gym memberships, streaming services and other recurring charges, the city’s consumer protection office said.
The new rule, which will start 1 October, promises hefty fines and aggressive enforcement for violators. Companies that do not provide a simple way to cancel could pay $525 per user subscription, back fees and additional fines.
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