The bill amends the General Laws by adding a new section to Chapter 6-13, which addresses automatic subscription renewals and continuous service offers. The insertions in the bill require businesses to clearly present the terms of automatic renewal offers, obtain affirmative consent before charging consumers, provide an acknowledgment with the offer terms and cancellation policy, and disclose how to cancel the service, particularly in cases involving a free trial or gift. The bill also mandates that businesses provide a notice of the automatic renewal or continuous service terms, including the renewal period length and cancellation methods, within a specific timeframe before the end of a free trial or promotional period, or before the renewal of a service with an initial term of one year or longer. Furthermore, businesses must offer easy-to-use cancellation methods, including online options, and allow consumers to terminate services exclusively online without unnecessary obstacles.

The bill introduces additional requirements for businesses to notify consumers of any material changes to the terms of the automatic renewal or continuous service agreement, including how to cancel the service, and this notice must be provided in a way that the consumer can retain. These requirements apply prior to the completion of the initial order for the automatic renewal or continuous service, with certain exceptions that may be fulfilled after the initial order. The bill exempts services provided by businesses or affiliates regulated by the Rhode Island Public Utilities Commission or the Federal Communications Commission. The act is set to take effect on January 1, 2025, and aims to prevent unfair sales practices by ensuring consumers are informed about automatic subscription renewals and have clear instructions on how to cancel such services.