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Stronger Consumer Protection for Online Subscriptions and Automatic Renewals.

This Act establishes strict new rules for companies offering automatic renewal contracts and free trials, requiring greater transparency and consumer consent. Companies must obtain explicit annual consent for renewals and provide clear, timely notifications before charging consumers. This aims to protect citizens from unexpected charges and difficult cancellation processes.
Key points
Companies must obtain the consumer's express informed consent annually before charging for automatic renewal.
Consumers must be notified at least 7 days before a free trial ends or before any automatic renewal charge.
Cancellation must be easy, including an online mechanism and a toll-free number or email.
Using 'dark patterns' (deceptive interfaces) to obtain consent is prohibited and invalidates the agreement.
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Additional Information
Print number: 118_S_1091
Sponsor: Sen. Van Hollen, Chris [D-MD]
Process start date: 2023-03-30