STATEMENT TO

 

[First Reprint]

ASSEMBLY, No. 5395

 

with Senate Floor Amendments

(Proposed by Senator JOHNSON)

 

ADOPTED: JUNE 30, 2025


 

      Assembly Bill No. 5395 (1R) requires a cancellation option for any subscription service and establishes certain standards pertaining to the use of negative option features.

      These Assembly amendments clarify that if a subscription service provider makes available the option to cancel or terminate a subscription service online, as required by the provisions of this bill, the provider is to make available to the consumer, in an easily accessible location, a direct link or button on the subscription service provider’s Internet website through which a consumer can initiate termination of the subscription service. 

      Additionally, these Assembly amendments clarify that before charging the consumer for the initial purchase of a subscription service, a subscription service provider that utilizes a negative option feature as part of the offer or agreement of a subscription service is required to obtain a consumer’s express informed consent.