Bill > S3877

This bill establishes comprehensive consumer protection standards for subscription services in New Jersey by mandating clear and accessible cancellation options. The legislation defines key terms like "automatic renewal" and "negative option feature," which refers to situations where a consumer's lack of action is interpreted as agreement to continue a service. Subscription service providers must now offer cancellation through the same medium used to sign up, such as online, by phone, or email, and must provide a prominent and easily accessible cancellation link or button on their website. The bill prohibits providers from misrepresenting material facts during marketing, requires clear disclosure of terms before charging, mandates express consumer consent for initial purchases, and ensures a simple cancellation mechanism. Violations are considered unlawful practices under consumer protection laws, with potential enforcement by the Attorney General or Division of Consumer Affairs, though notably, the bill explicitly prevents private citizens from filing lawsuits. The legislation includes an exemption for services already regulated by specific state or federal agencies like the Board of Public Utilities or Department of Banking and Insurance. The act will take effect on the first day of the fourth month following its enactment, giving businesses time to adapt to the new requirements.

Business and Industry

https://www.njleg.state.nj.us/bill-search/2024/S3877