Bill > A5395

This bill establishes comprehensive regulations for subscription services in New Jersey, requiring businesses to provide clear and accessible cancellation options for consumers. The bill defines key terms such as "automatic renewal," "negative option feature," and "subscription service," and mandates that providers allow consumers to cancel a subscription through the same medium they used to initially sign up, including in-person, by phone, mail, email, or online. For online subscriptions, providers must offer a direct link or button in an easily accessible location that allows consumers to initiate service termination. The bill prohibits subscription service providers from misrepresenting material facts, failing to disclose terms clearly, charging without express informed consent, and not providing a simple cancellation mechanism. Violations of these provisions will be considered an unlawful practice under consumer protection laws, with enforcement powers granted to the Attorney General or the Director of Consumer Affairs, who can seek injunctions and restitution for affected New Jersey residents. Notably, the bill explicitly states that there is no private right of action, meaning consumers cannot individually sue for violations. The bill also excludes certain regulated services, such as those overseen by the Board of Public Utilities or other regulatory bodies, from these requirements. The legislation will take effect on the first day of the fourth month following its enactment.

Business and Industry

https://www.njleg.state.nj.us/bill-search/2024/A5395