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Bill > H3471


MA H3471

MA H3471
Establishing automatic contract renewal


summary

Introduced
01/23/2017
In Committee
01/23/2017
Crossed Over
Passed
Dead
12/31/2018

Introduced Session

190th General Court

Bill Summary

Relative to automatic contract renewals. Consumer Protection and Professional Licensure.

AI Summary

This bill amends Chapter 93A of the Massachusetts General Laws to require any person that sells or offers to sell products or services to a consumer under a contract with an automatic renewal clause to clearly and conspicuously disclose the automatic renewal provision and cancellation procedure in the contract. Additionally, for contracts with a term of 12 months or more that automatically renew for more than 1 month, the person must notify the consumer in writing between 30 and 60 days before the cancellation deadline, clearly disclosing the automatic renewal and where the consumer can obtain details on the automatic renewal and cancellation procedure. Violations of these requirements are considered prima facie evidence of an unfair or deceptive act or practice, but a person is not liable if they have established and implemented written procedures to comply with the section and any failures are due to error, and they provide a full refund or credit for amounts billed during the period of noncompliance.

Committee Categories

Labor and Employment

Sponsors (3)

Last Action

Accompanied a study order, see H4638 (on 07/02/2018)

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