Federal Register #2026-20971

FTC Proposes Extending Negative Option Rule Information Collection Requirements

The Federal Trade Commission is proposing a three-year extension of information collection requirements for sellers operating prenotification subscription plans. - Government buyer: Federal Trade Commission (FTC), Bureau of Consumer Protection, Division of Enforcement. - What is covered: Disclosure and recordkeeping requirements under the Negative Option Rule for plans that automatically ship and bill for merchandise unless consumers reject it. - Sellers must clearly and conspicuously disclose membership terms and explain how the plans are administered. - Estimated impact: About 25 sellers would be affected, with an estimated 2,500 total burden hours and $160,755 in annual labor costs. Estimated non-labor costs are zero or de minimis; these are burden estimates, not a contract value. - OEMs and vendors: None identified. No products or quantities are requested.

Description

The Federal Trade Commission is seeking public comment on a proposal to reinstate and extend for three years the information collection requirements of its Use of Prenotification Negative Option Plans rule, as it existed before the 2024 rule was vacated. The rule covers prenotification subscription plans in which sellers automatically ship and bill for merchandise unless consumers reject it, and requires clear disclosure of membership terms and procedures for administering the plans. The FTC estimates an annual burden of 2,500 hours and annual labor costs of $160,755. Comments are due December 14, 2026.

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