#auto-renewal

#auto-renewal

California's auto-renewal law enhances consumer protections against unexpected charges from subscriptions and free trials.”],

extendedSummary

California's auto-renewal law (AB 2863) enhances consumer protections against automatic charges from subscriptions and free trials. Businesses must clearly outline trial durations, post-signup fees, and billing frequency before collecting payment information. Active consent from consumers is mandatory before any auto-renewal charges. Companies must provide a confirmation of terms, including cancellation instructions, after signup. Cancellation must be straightforward, utilizing the same method as sign-up. Additionally, long-term subscription companies must remind consumers annually of active subscriptions and notify them in advance (at least seven days) of any price increases.

tags

New state laws will protect tech customers from unfair auto-renewal subscriptions and provide regulations for short-term rental cleanliness standards.