A New York judge has ruled that SiriusXM violated federal consumer protection law by making subscription cancellations unnecessarily difficult for customers. The ruling specifically cites violations of the Restore Online Shoppers' Confidence Act (ROSCA), which requires companies to provide a "simple" cancellation process.

Key findings from the ruling:

• SiriusXM made cancellation more complex than subscription signup
• Customers faced long wait times to speak with live agents
• Agents were instructed to treat customer rejections as "requests for more information"
• While frustrating, the practices didn't constitute fraud or deception

The company plans to appeal the decision while maintaining that the court dismissed most charges and found no evidence of deceptive practices. SiriusXM has committed to following the Federal Trade Commission's new "click-to-cancel" rule, which takes effect in early 2025.

The ruling stems from a lawsuit filed by New York Attorney General Letitia James, who described the cancellation process as a "burdensome endurance contest." While Judge Lyle Frank agreed with some allegations, he dismissed four of the five counts, including claims of fraudulent conduct under New York state law.

FTC Chair Lina Khan emphasized that the new federal rule will "end these tricks and traps, saving Americans time and money" by making subscription cancellations as straightforward as sign-ups across various services, including streaming, pay-TV, and gym memberships.

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