Washington D.C. is in the process of enacting the Structured Settlements and Automatic Renewal
Protections Act of 2018 (the "Act"). In part, the
automatic renewal law Act would place new restrictions on
businesses that sell goods or services to consumers pursuant to a
contract that automatically renews.
What are the key provisions of the Act?
Automatic Renewal Law Notice Requirements
Washington D.C.'s proposed automatic renewal law would
require businesses that sell goods or services on a recurring basis
to clearly and conspicuously disclose their automatic renewal
provisions and cancelation procedures to consumers at the time of
purchase (sign up). For contracts with an initial term of twelve
months or more, that will automatically renew for a term of one
month or more, businesses must notify consumers of the auto-renewal
by first-class mail, email or another easily accessible form of
communication, such as text message or mobile phone application.
This notice