Public Act 103-0919
 
SB2764 EnrolledLRB103 36659 SPS 66768 b

    AN ACT concerning business.
 
    Be it enacted by the People of the State of Illinois, 
represented in the General Assembly:
 
    Section 5. The Automatic Contract Renewal Act is amended 
by changing Section 10 as follows:
 
    (815 ILCS 601/10)
    Sec. 10. Automatic renewal; requirements. 
    (a) Any person, firm, partnership, association, or 
corporation that sells or offers to sell any products or 
services to a consumer pursuant to a contract, where such 
contract automatically renews unless the consumer cancels the 
contract, shall: 
        (i) disclose the automatic renewal offer terms clearly 
    and conspicuously in the contract before the subscription 
    or purchasing agreement is fulfilled and in visual 
    proximity, or in the case of an offer conveyed by voice, in 
    temporal proximity, to the request for consent to the 
    offer;
        (ii) not charge the consumer's credit or debit card or 
    other payment mechanism for an automatic renewal service 
    without first obtaining the consumer's consent to the 
    contract containing the automatic renewal offer terms;
        (iii) provide an acknowledgment that includes the 
    automatic renewal offer terms, cancellation policy, and 
    information regarding how to cancel, which may be 
    accomplished by linking to a resource that provides 
    instructions that account for different platforms and 
    services, in a manner that is capable of being retained by 
    the consumer; and
        (iv) if the offer includes a free gift or trial, 
    disclose how to cancel the contract, which may be 
    accomplished by linking to a resource that provides 
    instructions that account for different platforms and 
    services, and allow the consumer to cancel before the 
    consumer pays for the good or services. 
    (a-5) Any person, firm, partnership, association, or 
corporation that sells or offers to sell any products or 
services to a consumer pursuant to a contract that includes a 
free trial or a promotional period of the product or service 
that lasts 15 days or longer, where such contract 
automatically renews unless the consumer cancels the contract, 
shall notify the consumer during the free trial or the 
promotional period no less than 3 days before the cancellation 
deadline as described by the automatic renewal offer terms. 
The person, firm, partnership, association, or corporation 
shall send the notice in a method in which the consumer is 
accustomed to interacting with the person, firm, partnership, 
association, or corporation.
    (b) Any person, firm, partnership, association, or 
corporation that sells or offers to sell any products or 
services to a consumer pursuant to a contract, where such 
contract term is a specified term of 12 months or more, and 
where such contract automatically renews for a specified term 
of more than one month unless the consumer cancels the 
contract, shall notify the consumer in writing of the 
automatic renewal. Written notice shall be provided to the 
consumer no less than 30 days and no more than 60 days before 
the cancellation deadline pursuant to the automatic renewal 
offer terms. Such written notice shall disclose clearly and 
conspicuously, in a retainable form:
        (i) that unless the consumer cancels the contract it 
    will automatically renew;
        (ii) a mechanism for cancelling the contract, which 
    shall be offered in a manner in which the consumer 
    commonly interacts with the business; and 
        (iii) the deadline by which the consumer must cancel 
    in order to avoid being charged for a subsequent term. 
    (b-5) A person, firm, partnership, association, or 
corporation that makes an automatic renewal offer or 
continuous service offer online shall provide a toll-free 
telephone number, electronic mail address, a postal address if 
the seller directly bills the consumer, or another 
cost-effective, timely, and easy-to-use mechanism for 
cancellation that shall be described in the notice required in 
subsection (b). A consumer who accepts an automatic renewal or 
continuous service offer online must be allowed to terminate 
the automatic renewal or continuous service exclusively 
online, which may include a termination email formatted and 
provided by the business that a consumer can send to the 
business without additional information, or a link to a 
website or other online service consumers can use to cancel. 
    (c) A person, firm, partnership, association, or 
corporation will not be liable for a violation of this Act or 
the Consumer Fraud and Deceptive Business Practices Act if 
such person, firm, partnership, association, or corporation 
demonstrates that, as part of its routine business practice:
        (i) it has established and implemented written 
    procedures to comply with this Act and enforces compliance 
    with the procedures;
        (ii) any failure to comply with this Act is the result 
    of error; and
        (iii) where an error has caused a failure to comply 
    with this Act, it provides a full refund or credit for all 
    amounts billed to or paid by the consumer from the date of 
    the renewal until the date of the termination of the 
    account, or the date of the subsequent notice of renewal, 
    whichever occurs first. 
(Source: P.A. 102-517, eff. 1-1-22; 103-70, eff. 1-1-24.)