This bill mandates that all subscription service providers in New Jersey must offer consumers a clear and accessible option to cancel their subscriptions using the same medium through which the service was activated. This includes options such as in-person, telephone, mail, email, or online methods. Additionally, if a subscription service provider allows online cancellations, they must provide a direct link or button on their website that enables consumers to easily initiate the termination of automatic renewals. The bill also defines "negative option features" and sets forth specific requirements for providers using such features, including the need to clearly disclose material terms and obtain express informed consent from consumers before charging them.
Furthermore, the bill establishes that it is an unlawful practice for subscription service providers to violate these provisions, with penalties for non-compliance including monetary fines, cease and desist orders, and potential punitive damages. The current law, which specifically addressed health club services, is repealed and replaced by this broader legislation that applies to all subscription services. The intent of the bill is to enhance consumer rights and simplify the cancellation process for subscription services.
Statutes affected: Introduced: 56:8-42.1