NFIB has initiated a legal challenge against a recent Federal Trade Commission (FTC) rule concerning automatic renewals of subscriptions or memberships. The petition for review was filed in the United States Court of Appeals for the Sixth Circuit, with NFIB seeking to have the rule overturned. This action was taken alongside the Michigan Press Association.

Beth Milito, Executive Director of NFIB’s Small Business Legal Center, stated, "At a time when small businesses are struggling from record overregulation, this rule exacerbates those challenges by imposing more regulatory costs and paperwork burdens." She emphasized that small businesses often lack the resources that larger companies possess to manage such compliance demands.

The NFIB argues that the FTC's rule attempts to regulate consumer contracts across various industries and sectors. It introduces new regulatory obligations related to disclosures and communication standards between company representatives and consumers. Furthermore, NFIB's petition claims that the rule breaches the Administrative Procedure Act, lacks substantial evidence support, and exceeds FTC's authority. The organization urges the court to declare the rule unlawful.

The NFIB Small Business Legal Center is dedicated to defending small business owners' rights in courts nationwide. Currently, NFIB is involved in over 40 cases at both federal and state levels, including proceedings before the U.S. Supreme Court.