If you sell an auto-renewing subscription, your SaaS subscription agreement — and the cancellation flow that goes with it — is under more legal pressure now than it was a year ago, even though the FTC’s federal “click-to-cancel” rule was struck down in 2025. Enforcement didn’t stop; it just shifted
Short answer: the FTC’s Negative Option Rule is the federal standard for how you sell subscriptions, free-to-paid trials, and auto-renewals, and the core idea is simple: you cannot treat a customer’s silence as a “yes.” The headline “Click-to-Cancel” version of that rule was struck down by a federal appeals court
Should I Make Short-Term or Long-Term Commitments to My SaaS Customers? Short answer: in SaaS, keep your substantive commitments (functionality, features, support, pricing) short, a year or less, because the model is built to change. The customer’s subscription term is the one thing that is genuinely time-bound by design. Have
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