| ![](/images/1ptrans.gif) |
Public Act 103-0919 Public Act 0919 103RD GENERAL ASSEMBLY | Public Act 103-0919 | SB2764 Enrolled | LRB103 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 .) |
Effective Date: 1/1/2025
|
|
|