Please ensure Javascript is enabled for purposes of website accessibility Ciresi’s ‘Click to Cancel’ legislation passes House

Ciresi’s ‘Click to Cancel’ legislation passes House

HARRISBURG, July 8 – Legislation aimed at strengthening Pennsylvania consumer protections for online subscriptions, sponsored by Rep. Joe Ciresi, overwhelmingly passed the House today (181-22).

“My House Bill 1299 would empower Pennsylvania’s consumers by creating a ‘click to cancel’ rule to make it easy for them to cancel unwanted subscriptions online instead of having to speak with a customer service representative and listen to lengthy sales pitches when they just want to terminate an unwanted subscription quickly,” Ciresi said.

“My legislation would also require clarity and transparency in online subscription contracts, so consumers know about the ‘strings’ attached to free gifts and trial periods.”

Ciresi’s bill would amend the Unfair Trade Practices and Consumer Protection Law by requiring businesses which offer automatic renewals to:

  • Provide renewal terms, cancellation policy, and how to cancel in a “clear and conspicuous Manner.”
  • Provide a clear and conspicuous explanation of the price that will be charged after a free trial ends and the deadline by which a consumer must cancel to avoid being charged.
  • Allow a customer who signs up online to cancel online (“click to cancel”).
  • Disclose any material changes in the automatic renewal in a clear and conspicuous manner that can also be retained by the consumer.
  • Not intentionally misrepresent automatic renewal terms.

A violation would constitute unfair methods of competition and unfair or deceptive acts of practices under the UTPCPL.

“It’s egregious that these subscription services are ripping off Pennsylvania consumers by creating hassles when they want to cancel (in the hopes the consumers will rather pay for the subscription than bother) and deceive them through opaque communications into paying for unwanted services,” Ciresi said. “My legislation would put a stop to such unethical behavior.”

An earlier version of the bill (H.B. 116) passed the House in the previous session but was not acted on by the Senate.