Last progress July 10, 2025 (4 months ago)
Introduced on July 10, 2025 by Brian Emanuel Schatz
Read twice and referred to the Committee on Commerce, Science, and Transportation.
This bill aims to stop “tricks and traps” in subscriptions and free trials that roll into paid plans. Companies must clearly explain all key terms up front and get your express OK before charging you under any auto-renew, “negative option,” or free-to-paid offer . They also have to keep proof that you agreed for at least three years, unless their system makes it impossible to finish checkout without that consent . After any trial or first term ends, a company can’t renew you for a longer period than the first one unless you say yes again . Canceling must be simple: online sign-ups must include a direct link to cancel online, and offline sign-ups must offer an easy cancel method in the same way you signed up (or another simple way if needed) .
For free trials that convert to paid, you must see the price during the trial, the price after the trial, and the total expected cost, and you must get a heads-up before the first post-trial charge with easy access to cancel . Companies must also send regular reminders with the terms and a direct path to cancel (at least once a year), and extra notice if there’s a deadline to cancel without more charges . The Federal Trade Commission can enforce these rules, and state attorneys general can also sue, with coordination rules between state and federal cases . State laws that give you more protection stay in place; only directly conflicting state deadlines are overridden . The law would apply to contracts entered into or changed starting one year after it becomes law .
| Key point | What it means | | — | — | | Who is affected | Consumers and businesses that sell subscriptions, auto-renew plans, continuity/club shipments, or free trials that turn into paid plans . | | What changes | Clear terms and express consent before any charge; easy online/offline cancel; limits on auto-renew length; price and renewal notices for free trials; annual reminders; strong federal and state enforcement . | | When it starts | Applies to new or amended contracts one year after enactment . |