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Legislative Year: 2021 Change
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Bill Detail: HB21-1239

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Title Protections In Consumer Sales Transactions
Status House Committee on Business Affairs & Labor Witness Testimony and/or Committee Discussion Only (04/15/2021)
Bill Subjects
  • Crimes, Corrections, & Enforcement
House Sponsors C. Kipp (D)
Senate Sponsors R. Rodriguez (D)
House Committee Business Affairs and Labor
Senate Committee
Date Introduced 03/23/2021
Summary

Each contract for a dating, matrimonial, or personal referral
service (social referral service) must provide that the buyer may cancel
the contract by providing written notice to the seller within 3 business
days after the date upon which the buyer receives a copy of the written
contract or the date upon which the social referral service is made
available to the buyer, whichever is later.

A seller of a social referral service must disclose to buyers certain
information regarding the buyers' right to cancel the service. A seller that
receives a timely notice of cancellation from a buyer must refund to the
buyer all money paid by the buyer pursuant to the contract within 10
business days after receiving the notice of cancellation.
A person that makes an automatic renewal offer to a consumer in
this state must:
  • Present the terms in a clear and conspicuous manner;
  • Obtain the consumer's affirmative consent to the agreement
before charging the consumer;
  • Provide the consumer a written acknowledgment that
includes the offer terms, the cancellation policy, and
information regarding how to cancel; and
  • Provide a simple, cost-effective, timely, and easy-to-use
mechanism for canceling the agreement.
A person that sells a good or service to a consumer pursuant to a
contract with an initial term of 12 months, which contract will
automatically renew for any additional term, must notify the consumer of
the automatic renewal at least 30 days and no more than 60 days before
the cancellation deadline for the first automatic renewal and each
subsequent automatic renewal.
A person that sells a consumer a contract with a trial period offer,
which contract will renew at the end of a trial period offer, shall:
  • Notify the consumer of the automatic renewal at least 15
and no more than 30 days before the expiration of the trial
period offer; and
  • Obtain the consumer's affirmative consent to the automatic
renewal before charging the consumer for the automatic
renewal.
The bill exempts certain persons from the new provisions
concerning automatic renewal offers.

Committee Reports
with Amendments
None
Full Text
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