II 

118TH CONGRESS 

1ST SESSION S. 1091 

To provide for automatic renewal protections, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

MARCH 30, 2023 

Mr. VAN HOLLEN (for himself, Mr. BLUMENTHAL, Mr. LUJA ́N, Mr. REED, 

and Mr. WYDEN) introduced the following bill; which was read twice and 

referred to the Committee on Commerce, Science, and Transportation 

A BILL 

To provide for automatic renewal protections, and for other 

purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Consumer Online Pay5 ment Transparency and Integrity Act’’. 

6 SEC. 2. AUTOMATIC RENEWAL PROTECTIONS. 

7 (a) IN GENERAL.—A person who sells a good or serv8 ice to a consumer pursuant to a contract that includes 

9 a free-to-pay conversion or negative option feature or any 

10 other automatic renewal provision shall disclose such feaVerDate Sep 11 2014 05:57 Apr 11, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S1091.IS S1091

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1 ture or provision and the cancellation procedure clearly 

2 and conspicuously in the contract. 

3 (b) AUTOMATIC RENEWAL.—A person who sells a 

4 good or service to a consumer pursuant to a contract that 

5 will automatically renew unless the consumer cancels the 

6 contract shall— 

7 (1) notify, in the same manner as the consumer 

8 entered into the contract, the consumer of— 

9 (A) the first automatic renewal (and of 

10 each automatic renewal thereafter) not less 

11 than 7 days (or a longer time period as deter12 mined appropriate by the Commission) before 

13 the commencement of the renewal period; and 

14 (B) how the consumer may cancel the con15 tract, which shall include— 

16 (i) an online mechanism for cancella17 tion provided by the person; and 

18 (ii) a toll-free telephone number, email 

19 address, postal mail address, or other cost20 effective, timely, and easy-to-use mecha21 nism for cancellation provided by the per22 son; 

23 (2) on an annual basis and notwithstanding the 

24 consumer’s consent to the initial term (or any subse25 quent term), obtain the consumer’s express informed 


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1 consent to renew the contract before charging the 

2 consumer for the automatic renewal; and 

3 (3) notwithstanding the consumer’s consent to 

4 the initial term (or any subsequent term), in the 

5 event that the person has actual knowledge that the 

6 consumer has not used the good or service provided 

7 under the contract for a period of 6 consecutive 

8 months since the consumer’s most recent express in9 formed consent— 

10 (A) obtain the consumer’s express in11 formed consent to the automatic renewal before 

12 charging the consumer for the automatic re13 newal; and 

14 (B) notify the consumer that the consumer 

15 has a right to terminate the contract and re16 ceive a prorated refund for the remaining por17 tion of the contract. 

18 (c) FREE TRIAL.—A person who sells a good or serv19 ice to a consumer pursuant to a contract that includes 

20 a free-to-pay conversion feature with a free trial period, 

21 shall— 

22 (1) notify, in the same manner as the consumer 

23 entered into the contract, the consumer— 

24 (A) that the consumer will be charged for 

25 the good or service not less than 7 days (or a 


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1 longer time period as determined appropriate by 

2 the Commission) before the expiration of the 

3 free trial period; and 

4 (B) of how the consumer may cancel the 

5 contract, which shall include— 

6 (i) an online mechanism for cancella7 tion provided by the person; and 

8 (ii) a toll-free telephone number, email 

9 address, postal mail address, or other cost10 effective, timely, and easy-to-use mecha11 nism for cancellation provided by the per12 son; and 

13 (2) notwithstanding the consumer’s consent to 

14 the free trial, obtain the consumer’s express in15 formed consent to the applicable charge for the good 

16 or service not less than 7 days (or a longer time pe17 riod as determined appropriate by the Commission) 

18 before the expiration of the free trial period and be19 fore charging the consumer for the automatic re20 newal. 

21 (d) AUTOMATIC RENEWAL VOID.—In the case of a 

22 violation of subsection (a), (b), or (c)— 

23 (1) the applicable automatic renewal provision 

24 shall be void, and the contract shall terminate upon 

25 the occurrence of such violation; and 


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1 (2) the person who violated subsection (a), (b), 

2 or (c) shall provide the consumer with a refund for 

3 all amounts paid by the consumer due to such viola4 tion. 

5 (e) DARK PATTERNS.—With respect to a contract 

6 that includes a free-to-pay conversion or negative option 

7 feature or any other automatic renewal provision, a con8 sumer’s consent obtained through the use of dark patterns 

9 shall not be considered express informed consent. 

10 (f) EXEMPTIONS.—The requirements under sub11 sections (a), (b), (c), and (d) shall not apply to a service 

12 contract or any other person or contract determined ap13 propriate by the Commission. 

14 (g) EFFECTIVE DATE.—The requirements under this 

15 section shall take effect on the date that is 1 year after 

16 the date of enactment of this Act. 

17 SEC. 3. ENFORCEMENT BY THE COMMISSION. 

18 (a) UNFAIR OR DECEPTIVE ACTS OR PRACTICES.— 

19 A violation of section 2 or a rule promulgated under this 

20 Act shall be treated as a violation of a rule defining an 

21 unfair or a deceptive act or practice under section 

22 18(a)(1)(B) of the Federal Trade Commission Act (15 

23 U.S.C. 57a(a)(1)(B)). 

24 (b) POWERS OF THE COMMISSION.— 


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1 (1) IN GENERAL.—The Commission shall en2 force this Act in the same manner, by the same 

3 means, and with the same jurisdiction, powers, and 

4 duties as though all applicable terms and provisions 

5 of the Federal Trade Commission Act (15 U.S.C. 41 

6 et seq.) were incorporated into and made a part of 

7 this Act. 

8 (2) PRIVILEGES AND IMMUNITIES.—Any person 

9 who violates section 2 or a rule promulgated under 

10 this Act shall be subject to the penalties and entitled 

11 to the privileges and immunities provided in the 

12 Federal Trade Commission Act (15 U.S.C. 41 et 

13 seq.). 

14 (3) AUTHORITY PRESERVED.—Nothing in this 

15 Act shall be construed to limit the authority of the 

16 Commission under any other provision of law. 

17 (4) RULEMAKING.—The Commission shall pro18 mulgate in accordance with section 553 of title 5, 

19 United States Code, such rules as may be necessary 

20 to carry out this Act, or to prevent unfair or decep21 tive acts or practices regarding free trials, automatic 

22 renewals, or other contracts under which a con23 sumer’s silence or failure to take an affirmative ac24 tion to reject goods or services or to cancel an agreeVerDate Sep 11 2014 05:57 Apr 11, 2023 Jkt 039200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S1091.IS S1091

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1 ment is interpreted by the seller as acceptance of the 

2 offer. 

3 SEC. 4. DEFINITIONS. 

4 In this Act: 

5 (1) COMMISSION.—The term ‘‘Commission’’ 

6 means the Federal Trade Commission. 

7 (2) CONSUMER.—The term ‘‘consumer’’ means 

8 any person who seeks or acquires, by purchase or 

9 lease, any goods or services. 

10 (3) DARK PATTERNS.—The term ‘‘dark pat11 terns’’ means a user interface that has the substan12 tial effect of subverting or impairing user autonomy, 

13 decision making, or choice. 

14 (4) FREE-TO-PAY CONVERSION.—The term 

15 ‘‘free-to-pay conversion’’ has the meaning given that 

16 term in section 310.2 of title 16, Code of Federal 

17 Regulations. 

18 (5) NEGATIVE OPTION FEATURE.—The term 

19 ‘‘negative option feature’’ has the meaning given 

20 that term in section 310.2 of title 16, Code of Fed21 eral Regulations. 

22 (6) SERVICE CONTRACT.—The term ‘‘service 

23 contract’’ means a contract or agreement for a sepa24 rately stated consideration for any duration— 


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1 (A) to perform the repair, replacement, or 

2 maintenance of property or indemnification for 

3 service repair, replacement, or maintenance for 

4 the operational or structural failure of any 

5 motor vehicle or residential or other property 

6 due to a defect in materials, workmanship, acci7 dental damage from handling, or normal wear 

8 and tear; or 

9 (B) to indemnify for the same, including 

10 towing, rental, or emergency road service or 

11 road hazard protection, and which may provide 

12 for the service repair, replacement, or mainte13 nance of property for damage resulting from 

14 power surges or interruption. 

Æ 


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