This bill establishes specific requirements for businesses that offer automatic renewal or continuous service agreements to consumers in New Jersey. Key provisions include the necessity for businesses to present the terms of these offers in a clear and conspicuous manner before the consumer completes the purchase, obtain affirmative consent from the consumer prior to charging their account, and provide an acknowledgment that includes the terms, cancellation policy, and instructions on how to cancel. Additionally, if the offer includes a free trial, businesses must clearly explain the pricing that will apply after the trial period ends. The bill also mandates that businesses provide accessible cancellation mechanisms, including a toll-free number or online termination options.
Furthermore, the bill stipulates that if a business sends products to a consumer without obtaining their affirmative consent, those products will be considered unconditional gifts, allowing the consumer to dispose of them without obligation. If the consumer has been charged for these goods, the business must issue a full refund within 30 days of the request. Violations of the bill's provisions are classified as unlawful practices under the consumer fraud act, which can result in significant monetary penalties and other legal consequences.