SPRINGFIELD – Consumers would be given clear notice before they enter contracts that automatically renew under a measure State Senator Meg Loughran Cappel supports. 022323CM0201

“Many of us have subscriptions from streaming services to phone contracts,” said Loughran Cappel (D-Shorewood). “Most contracts are regularly renewed, often times without clear consent. Consumers need to be aware before they are automatically renewed.”

Senate Bill 328 would require businesses to give notice to consumers before a contract renews. The Loughran Cappel-backed measure would also allow consumers to terminate automatic renewal contracts more easily by phone or online – something that is often not offered by companies. Businesses that offer free trials or reduced one-time offers must also provide notice before the promotional period ends.

“We can’t let big businesses continue to take advantage of consumers by automatically subscribing them,” Loughran Cappel said. “Closing the loopholes many find a way around increases transparency for consumers.”

Senate Bill 328 passed the Senate Judiciary Committee and awaits further consideration before the full Senate.

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