The 'Unsubscribe Act' Mandates Easy Cancellation Buttons and Ends Sneaky Free Trial Charges

This new piece of legislation, officially dubbed the Unsubscribe Act of 2025, is a direct response to one of the biggest headaches of modern digital life: the never-ending subscription trap. At its core, the bill sets up strong federal rules to govern “negative options”—that’s policy-speak for any deal where you keep getting charged unless you actively cancel, like those free trials that automatically convert to monthly fees.

Starting one year after the bill becomes law (SEC. 6), companies that use these models must get your explicit, informed consent before they charge you anything automatically (SEC. 2). They can’t bury the agreement in fine print or trick you with pre-checked boxes; you have to take a clear, affirmative step showing you agree to the recurring charges. This is a game-changer for anyone who has accidentally signed up for a $19.99 monthly service just by clicking 'Continue' too fast.

The End of Cancellation Jail

Perhaps the most consumer-friendly provision addresses the infamous “cancellation jail.” If you signed up for a service online, the company must now provide a simple electronic mechanism to cancel (SEC. 2). Think a direct link or a clearly marked button. No more being forced to call a customer service line during business hours or send a certified letter just to stop a $5 charge. If you signed up online, you must be able to cancel online, period. This provision alone is designed to save countless hours of frustrating hold music.

Free Trials Get a Reality Check

The bill also puts strict guardrails around "free-to-pay" conversions—the bread and butter of many digital services. If you start with a free or discounted trial, the merchant must clearly disclose the full terms, the recurring amount after the trial, and the total cost for the next 12 months before you sign up (SEC. 2). Even better, before the first charge hits, they must send you a mandatory heads-up notice, reminding you of the upcoming charge, the contract terms, and giving you direct access to that easy cancellation method.

This means that if you sign up for a 7-day free trial of a new streaming service, you’ll get a reminder email on day 5 or 6 saying, “Hey, your $15.99 monthly charge starts tomorrow. Click here to cancel now.” Furthermore, companies can't automatically roll you into another renewal period that is longer than the initial term without getting your express consent again.

Who’s Going to Enforce This?

To make sure these new rules aren't just suggestions, the Act gives enforcement power to both the Federal Trade Commission (FTC) and state attorneys general (SEC. 3). The FTC can use all its existing tools to treat violations as unfair or deceptive practices, meaning real penalties are on the table. State attorneys general can also sue companies in federal court on behalf of their residents. This dual enforcement structure means companies will have to pay attention to these rules, or they risk getting hit with lawsuits from multiple directions.

For regular folks, the impact is clear: less time spent fighting to cancel unwanted charges, fewer surprise bills, and much clearer disclosures upfront. While the FTC still needs to write the final rules on things like the frequency of ongoing contract reminders (SEC. 2), the core message of the Unsubscribe Act is that companies can no longer profit from consumer confusion or inertia.