Revision of the Negative Option Rule, Withdrawal of the CARS Rule, Removal of the Non-Compete Rule To Conform These Rules to Federal Court Decisions

Issuing agencies

Abstract

In light of Federal court decisions, the Federal Trade Commission ("FTC" or "Commission") is taking final action to conform three of its recent rules to the results ordered by the courts. First, the Commission is revising its recently amended "Rule Concerning Recurring Subscriptions and Other Negative Option Programs" ("Negative Option Rule") to recodify the text of the Negative Option Rule as it existed before the effective date of the Commission's 2024 final rule amending it. Second, the Commission is withdrawing its final rule titled "Combating Auto Retail Scams Trade Regulation Rule" ("CARS Rule"). Third, the Commission is removing its "Non-Compete Clause Rule" ("Non-Compete Rule") from the Code of Federal Regulations.