NY Attorney General James Stops SiriusXM from Trapping New York Customers in Unwanted Subscriptions
New York Attorney General Letitia James today (11/22) announced that a court found SiriusXM Radio, Inc. violated the law by forcing customers to undergo a long and burdensome process to cancel their subscriptions. AG James sued SiriusXM in 2023 after an investigation by the Office of the Attorney General (OAG) revealed that the company requires its subscribers to call or chat online with an agent to cancel a subscription and trains its agents not to take “no” for an answer. SiriusXM’s alleged illegal process deliberately draws out conversations with customers as part of a strategy to prevent them from canceling their subscriptions. “No one should have to endure a lengthy and frustrating process to cancel a subscription, and any company that forces customers to jump through unnecessary hoops to end their subscriptions is breaking the law,” said Attorney General James. “This decision found SiriusXM illegally created a complicated cancellation process for its New York customers, forcing them to spend significant amounts of time speaking with agents who refused to take ‘no’ for an answer. My office sued SiriusXM to protect consumers, and as a result of our actions, they will have to simplify their cancellation process to stop taking advantage of New Yorkers.” SiriusXM has approximately 35 million subscribers of which nearly 2 million are New Yorkers.
SiriusXM provided TALKERS with the following response: New York started this case last year by alleging that “SiriusXM has continued to engage in repeated and persistent fraud and illegality.” Today, we know, and the State of New York knows, that is not true.
Yesterday, the Court dismissed almost all of the charges against SiriusXM, and found that SiriusXM’s policies were neither misleading nor deceptive. Most importantly, the Court ruled that SiriusXM had shown through “a plethora of material… that they have taken repeated steps to avoid creating such an atmosphere” of fraud or deceit. While the Court found some technical violations of a Federal statute, it did not find that SiriusXM ever deceived anyone or committed any fraud. SiriusXM intends to appeal the Court’s ruling as to those technical violations.
Additionally, SiriusXM will abide by the recent FTC ruling when it goes into effect.