(l-r) David Carpenter, Gillian H. Clow, and Brooke H. Bolender of Alston & Bird. Courtesy photos Promoting Cancel Culture: Best Practices for Compliance With California's Automatic Renewal Law
Businesses should spend the time to make sure they are compliant with California's Automatic Renewal Law and the road to cancellation for users is clearly paved, according to Alston & Bird's David Carpenter, Gillian H. Clow, and Brooke H. Bolender.
November 28, 2023 at 05:00 AM
6 minute read
California's Automatic Renewal Law (ARL) requires retailers offering an automatically renewing plan for a paid subscription to provide specific disclosures on their websites. The disclosures must be clear and conspicuous and located near where the consumer confirms their subscription purchase on the website. The opportunity to purchase a subscription product or delivery service is everywhere, and businesses should be aware of California's ARL requirements, in addition to other risks they may face in trying to comply with the ARL.
What Is the ARL?
The ARL as set forth in California Business and Professions Code sections 17601(a) and 17602 requires "clear and conspicuous" disclosures "before the subscription or purchasing agreement is fulfilled and in visual proximity."
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