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LEGAL

Now the disgruntled subscribers in California can heave a sigh of relief

Now the disgruntled subscribers in California can heave a sigh of relief
The Siliconreview
05 July, 2018

A new law formulated by California’s government went into effect on 1st July, allowing people to cancel subscriptions online. California Senate Bill No. 313 states that any customers can cancel any business online that makes an automatic renewal or offers continuous service to them. The services include newspaper and magazine subscription, streaming services, telecom services etc. The law will also benefit people in many places outside of California.

If the subscription is done online, then the cancellation also must be done online if the customers aren’t satisfied with the service. As we know, how frustrating and time-consuming it is to call a customer care service to stop the services, and moreover, they often persuade you to continue the service. The bill also requires the companies to be more transparent in their promotional strategies. They need to include a clear explanation if they are rolling out any free trails or gifts i.e. how much the customers will be charged after the end of trial period, how can they cancel it even before they are charged. In case of subscription that involves free or minimum charges trial, the companies need to take consent of the customers before initiating the renewal of subscription when the trial period is over.

Many organizations in California are already making changes in their policies to co-operate with the law. The law brings a ray of hope that subscription related process won’t be a hassle anymore!