Sirius XM Found Liable in New York Lawsuit Over Subscription Cancellations

Sirius XM has been found liable in a New York lawsuit for making it difficult for customers to cancel subscriptions, violating consumer protection laws.

Sirius XM, the satellite radio company, has been found liable in a New York lawsuit for making it excessively difficult for customers to cancel their subscriptions. The ruling, issued by a New York judge, found that Sirius XM's cancellation process violated the Restore Online Shoppers’ Confidence Act, a federal law that mandates a simple cancellation process for subscription services. The lawsuit, filed by New York Attorney General Letitia James, accused Sirius XM of creating a "burdensome endurance contest" for customers attempting to cancel their subscriptions. The process required customers to engage in lengthy phone conversations with live agents, often involving extended hold times. The judge ruled that while Sirius XM's practices did not amount to fraud or deception, they did violate federal law by failing to provide a straightforward cancellation mechanism. The court dismissed most of the charges against Sirius XM but ordered the company to change its cancellation procedures in New York. Sirius XM plans to appeal the ruling, emphasizing that the court found no evidence of fraud or deception. The lawsuit highlights ongoing concerns about consumer rights and the responsibilities of companies to provide fair and transparent services. The case underscores the importance of consumer protection laws in ensuring that companies do not exploit customers through complex and frustrating processes. As a result of the lawsuit, Sirius XM will be required to simplify its cancellation process, ensuring that customers can cancel their subscriptions without unnecessary hurdles. This decision is a significant step in protecting consumer rights and holding companies accountable for their practices.

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