California’s ‘click to cancel’ subscription bill is signed into law

Governor Gavin Newsom has signed California’s “click to cancel” Assembly Bill 286 into law to make it easier for consumers to opt out of subscriptions. The bill, introduced in April 2024, forces companies that allow online or in-app sign-ups to allow for online or in-app unsubscribing as well.

“AB 2863 is the most comprehensive ‘Click to Cancel’ legislation in the nation, ensuring Californians can cancel unwanted automatic subscription renewals just as easily as they signed up — with just one click or two,” said California Assemblymember Pilar Schiavo.

Like many, you may have signed up for a thing online and when you go to cancel it, they are presented with a phone number. You then have to spend an hour on hold before being allowed to convince the person on the other end of a line that you can cancel a subscription that took five seconds to sign up for. California’s new bill is designed to kibosh that sort of behavior, although companies have until mid-2025 to comply.

Adobe is one of the most notable examples of this behavior, particularly since its subscriptions can cost $60 per month. Earlier this year, the FTC sued the company over early termination fees and roadblocks to unsubscribing, calling the practices “illegal.”

The FTC has proposed a similar law last year that would apply across the US, but the finalized rule is yet to come. Meanwhile, if you’re having trouble canceling a subscription Engadget created a guide on how to do so with commonly used plans.