BILL NUMBER: S4391
SPONSOR: GOUNARDES
TITLE OF BILL:
An act to amend the general business law, in relation to requiring
mobile applications on electronic devices which provide a subscription
service shall allow the cancellation of such service through its appli-
cation
PURPOSE OR GENERAL IDEA OF BILL:
Requires mobile applications on cell phones, smart phones, and tablets
that offer a subscription service to provide an option to cancel the
subscription on its application.
SUMMARY OF PROVISIONS:
Section 1 amends the General Business Law by adding new section 527-b,
which requires mobile application providers that offer subscription
services with automatic renewals to provide an in-app option for custom-
ers to cancel their subscriptions and include a clear, visible link to
terminate the renewal. This requirement does not apply to apps primarily
used to complement subscriptions for access to physical business
locations.
Section 2 stipulates the effective date.
JUSTIFICATION:
Many users take advantage of easy and accessible subscription plan sign
up options on mobile applications - only to discover that they are
unable to modify or cancel their subscription within the app, and
instead must follow another process to cancel their subscription. This
bill would require all mobile apps designed to deliver digital services,
where the service itself is being rendered through the app, to provide
users an option to cancel the subscription through the app.
PRIOR LEGISLATIVE HISTORY:
2024: Referred to Consumer Protection
FISCAL IMPLICATIONS:
None
EFFECTIVE DATE:
This act shall take effect on the ninetieth day after it shall have
become a law.