Senate Bill 302, also known as the "Tennessee Consumer Protection and Subscription Renewal Act," amends Tennessee Code Annotated to enhance consumer protections regarding automatic renewal and continuous service offers. The bill establishes clear definitions for terms such as "affirmative consent" and "consumer," and mandates that businesses present automatic renewal terms in a clear and conspicuous manner before obtaining consent. It requires businesses to obtain affirmative consent from consumers before charging for automatic renewals, provide clear notices regarding upcoming charges, and offer mechanisms for easy cancellation. Additionally, the bill prohibits businesses from requiring payment information for free trials and mandates that any material changes to the terms must also receive affirmative consent from the consumer.

The bill also outlines specific requirements for businesses, including providing a toll-free number or email for cancellations and allowing online termination of services. If a business fails to comply with the affirmative consent requirements, consumers may take legal action, with potential fines of up to $5,000 for violations. Certain entities, such as banks and credit unions, are exempt from these regulations. The act is set to take effect on July 1, 2025, applying to conduct occurring on or after that date.

Statutes affected:
Introduced: 47-18-133