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2018 SESSION

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HB 911 Automatic renewal offers and continuous service offers; penalties.

Introduced by: Marcus B. Simon | all patrons    ...    notes | add to my profiles

SUMMARY AS PASSED: (all summaries)

Automatic renewal offers and continuous service offers; penalties. Prohibits a supplier making an automatic renewal or continuous service offer to a consumer in the Commonwealth from (i) failing to present the automatic renewal or continuous service offer terms in a clear and conspicuous manner, (ii) charging the consumer for an automatic renewal or continuous service without first obtaining the consumer's affirmative consent, and (iii) failing to provide an acknowledgment that includes the automatic renewal or continuous service offer terms, cancellation policy, and information regarding how to cancel in a manner that is capable of being retained by the consumer. In the case of a material change in the terms of the automatic renewal or continuous service offer, the bill requires the supplier to provide the consumer with a clear and conspicuous notice of the material change and information regarding how to cancel. The measure provides that in any case in which a supplier sends any goods, wares, merchandise, or products to a consumer under a continuous service agreement or automatic renewal of a purchase without first obtaining the consumer's affirmative consent, the goods, wares, merchandise, or products shall for all purposes be deemed an unconditional gift to the consumer. The bill exempts certain services and businesses from its provisions. A violation is a prohibited practice under the Virginia Consumer Protection Act, though a supplier is not subject to civil penalties or damages if the supplier makes a good faith effort to comply with the measure's requirements. The measure has a delayed effective date of January 1, 2019.


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