senate Bill S2076A

2013-2014 Legislative Session

Relates to automatic renewals of magazine subscriptions

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Archive: Last Bill Status - In Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

view actions (10)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 08, 2014 referred to consumer protection
Jun 21, 2013 committed to rules
May 22, 2013 amended on third reading 2076c
May 06, 2013 amended on third reading 2076b
May 01, 2013 advanced to third reading
Apr 30, 2013 2nd report cal.
Apr 29, 2013 1st report cal.443
Apr 03, 2013 print number 2076a
amend (t) and recommit to consumer protection
Jan 10, 2013 referred to consumer protection

Votes

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Apr 29, 2013 - Consumer Protection committee Vote

S2076A
11
0
committee
11
Aye
0
Nay
0
Aye with Reservations
0
Absent
0
Excused
0
Abstained
show Consumer Protection committee vote details

Consumer Protection Committee Vote: Apr 29, 2013

Bill Amendments

Original
A
B
C (Active)
Original
A
B
C (Active)

S2076 - Bill Details

Current Committee:
Law Section:
General Business Law
Laws Affected:
Amd §335-a, Gen Bus L

S2076 - Bill Texts

view summary

Relates to automatic renewals of magazine subscriptions; requires certain notice and protections.

view sponsor memo
BILL NUMBER:S2076

TITLE OF BILL: An act to amend the general business law, in relation
to prohibiting magazine publishers from renewing subscriptions without
the express consent of the subscriber

PURPOSE: To prohibit magazine publishers or firms directly associated
with them from continuing on a subscribers magazine subscription
without their express consent.

SUMMARY OF SPECIFIC PROVISIONS: Section 1 states that No publisher of
a magazine ox a firm that regularly solicits magazine subscriptions
shall extend the term of a subscription without the express consent of
the subscriber.

JUSTIFICATION: Many time consumers will purchase a subscription to a
magazine at a discounted rate, or at a regular rate and use that time
to decide whether or not they enjoy that magazine and wish to continue
receiving it at the end of the term. At the end of that time frame it
should be the consumers choice to opt to continue receiving that
magazine.

However some magazine companies and their affiliates change the terms
mid way through the subscription by notifying subscribers that they
must opt out of a subscription if they want it to end. For example an
individual may subscribe to a magazine under favorable terms for a
year subscription for ten dollars, nine months into that subscription
a notice is sent to that individual saying if you do not let us know
you wish to cancel, we will continue your subscription for another
year at the rate of thirty-five dollars.

PRIOR LEGISLATIVE HISTORY: New Bill.

FISCAL IMPLICATIONS: None

EFFECTIVE DATE: This act will take effect immediately.

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                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  2076

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 10, 2013
                               ___________

Introduced  by Sen. GRISANTI -- read twice and ordered printed, and when
  printed to be committed to the Committee on Consumer Protection

AN ACT to amend the general business law,  in  relation  to  prohibiting
  magazine  publishers  from  renewing subscriptions without the express
  consent of the subscriber

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Subdivision 5 of section 335-a of the general business law
is renumbered subdivision 6 and a new subdivision 5 is added to read  as
follows:
  5.  NO  PUBLISHER  OF  A  MAGAZINE SOLD BY SUBSCRIPTION OR ANY PERSON,
FIRM, ASSOCIATION OR CORPORATION  ENGAGED  IN  BUSINESS,  THE  PRINCIPAL
PURPOSE  OF  WHICH  IS TO REGULARLY SOLICIT MAGAZINE SUBSCRIPTION ORDERS
FOR DELIVERY IN THIS STATE THROUGH THE MAIL FOR PROFIT, SHALL  RENEW  OR
OTHERWISE  EXTEND THE TERM OF A SUBSCRIPTION WITHOUT THE EXPRESS CONSENT
OF THE SUBSCRIBER.
  S 2. This act shall take effect immediately.





 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05346-01-3

S2076A - Bill Details

Current Committee:
Law Section:
General Business Law
Laws Affected:
Amd §335-a, Gen Bus L

S2076A - Bill Texts

view summary

Relates to automatic renewals of magazine subscriptions; requires certain notice and protections.

view sponsor memo
BILL NUMBER:S2076A

TITLE OF BILL: An act to amend the general business law, in relation
to requirements for the renewal of magazine subscriptions

PURPOSE:

To prohibit magazine publishers or firms directly associated with them
from certain practices as they relate to automatic renewal of their
subscription.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 states that no publisher or associated corporation shall-
fail to represent automatic renewal terms in a clear and conspicuous
manner before the agreement is fulfilled. Further they shall not
charge the consumer without first obtaining the consumer's affirmative
consent to the agreement of renewal. This section also requires
acknowledgement and information on how to cancel, while requiring
information be presented on how to contact the company to cancel. This
section also expressly requires that material changes in the terms and
conditions shall be provided with a clear and conspicuous notice and
information on how to cancel.

Section 2 is the effective date.

JUSTIFICATION:

Many time consumers will purchase a subscription to a magazine at a
discounted rate, or at a regular rate and use that time to decide
whether or not they enjoy that magazine and wish to continue receiving
it at the end of the term. At the end of that time frame it should be
the consumers choice to opt to continue receiving that magazine.

However some magazine companies and their affiliates change the terms
mid way through the subscription by notifying subscribers that they
must opt out of a subscription if they want it to end. For example an
individual may subscribe to a magazine under favorable terms for a
year subscription for ten dollars, nine months into that subscription
a notice is sent to that individual saying if you do not let us know
you wish to cancel, we will continue your subscription for another
year at the rate of thirty-five dollars.

PRIOR LEGISLATIVE HISTORY:

New Bill.

FISCAL IMPLICATIONS:

None

EFFECTIVE DATE:

This act will take effect immediately.

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download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2076--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 10, 2013
                               ___________

Introduced  by Sen. GRISANTI -- read twice and ordered printed, and when
  printed to be committed to the Committee  on  Consumer  Protection  --
  committee  discharged,  bill amended, ordered reprinted as amended and
  recommitted to said committee

AN ACT to amend the general business law, in  relation  to  requirements
  for the renewal of magazine subscriptions

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision 5 of section 335-a of the general business  law
is  renumbered subdivision 6 and a new subdivision 5 is added to read as
follows:
  5. (A) IT SHALL BE UNLAWFUL FOR ANY PUBLISHER OF A  MAGAZINE  SOLD  BY
SUBSCRIPTION  OR ANY PERSON, FIRM, ASSOCIATION OR CORPORATION ENGAGED IN
BUSINESS, THE PRINCIPAL PURPOSE OF WHICH IS TO REGULARLY  SOLICIT  MAGA-
ZINE SUBSCRIPTION ORDERS FOR DELIVERY IN THIS STATE THROUGH THE MAIL FOR
PROFIT, TO DO ANY OF THE FOLLOWING:
  (I)  FAIL  TO  PRESENT THE AUTOMATIC RENEWAL OFFER TERMS OR CONTINUOUS
SERVICE OFFER TERMS  IN  A  CLEAR  AND  CONSPICUOUS  MANNER  BEFORE  THE
SUBSCRIPTION OR PURCHASING AGREEMENT IF FULFILLED;
  (II)  CHARGE  THE  CONSUMER'S  CREDIT  OR DEBIT CARD OR THE CONSUMER'S
ACCOUNT WITH A THIRD  PARTY  FOR  AN  AUTOMATIC  RENEWAL  OR  CONTINUOUS
SERVICE  WITHOUT  FIRST  OBTAINING THE CONSUMER'S AFFIRMATIVE CONSENT TO
THE AGREEMENT CONTAINING THE AUTOMATIC RENEWAL OFFER TERMS OR CONTINUOUS
SERVICE OFFER TERMS; OR
  (III) FAIL TO PROVIDE AN ACKNOWLEDGMENT THAT  INCLUDES  THE  AUTOMATIC
RENEWAL  OR  CONTINUOUS  SERVICE  OFFER  TERMS, CANCELLATION POLICY, AND
INFORMATION REGARDING HOW TO CANCEL IN A MANNER THAT IS CAPABLE OF BEING
RETAINED BY THE CONSUMER.
  (B) A PUBLISHER OR BUSINESS ENTITY MAKING AUTOMATIC RENEWAL OR CONTIN-
UOUS SERVICE OFFERS SHALL PROVIDE A TOLL-FREE  TELEPHONE  NUMBER,  ELEC-
TRONIC  MAIL  ADDRESS,  A  POSTAL  ADDRESS ONLY WHEN THE SELLER DIRECTLY

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05346-05-3

S. 2076--A                          2

BILLS THE CONSUMER, OR ANOTHER COST-EFFECTIVE, TIMELY,  AND  EASY-TO-USE
MECHANISM FOR CANCELLATION.
  (C)  IN  THE  CASE  OF A MATERIAL CHANGE IN THE TERMS OF THE AUTOMATIC
RENEWAL OR CONTINUOUS SERVICE OFFER THAT HAS BEEN ACCEPTED BY A CONSUMER
IN THIS STATE, THE  PUBLISHER  OR  BUSINESS  ENTITY  SHALL  PROVIDE  THE
CONSUMER  WITH A CLEAR AND CONSPICUOUS NOTICE OF THE MATERIAL CHANGE AND
PROVIDE INFORMATION REGARDING HOW TO CANCEL.
  S 2. This act shall take effect immediately.

S2076B - Bill Details

Current Committee:
Law Section:
General Business Law
Laws Affected:
Amd §335-a, Gen Bus L

S2076B - Bill Texts

view summary

Relates to automatic renewals of magazine subscriptions; requires certain notice and protections.

view sponsor memo
BILL NUMBER:S2076B

TITLE OF BILL: An act to amend the general business law, in relation
to requirements for the renewal of magazine subscriptions

PURPOSE:

To prohibit magazine publishers or firms directly associated with them
from certain practices as they relate to automatic renewal of their
subscription.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 states that no publisher or associated corporation shall-
fail to represent automatic renewal terms in a clear and conspicuous
manner before the agreement is fulfilled. Further they shall not
charge the consumer without first obtaining the consumer's affirmative
consent to the agreement of renewal. This section also requires
acknowledgement and information on how to cancel, while requiring
information be presented on how to contact the company to cancel. This
section also expressly requires that material changes in the terms and
conditions shall be provided with a clear and conspicuous notice and
information on how to cancel.

Section 2 is the effective date.

JUSTIFICATION:

Many time consumers will purchase a subscription to a magazine at a
discounted rate, or at a regular rate and use that time to decide
whether or not they enjoy that magazine and wish to continue receiving
it at the end of the term. At the end of that time frame it should be
the consumers choice to opt to continue receiving that magazine.

However some magazine companies and their affiliates change the terms
mid way through the subscription by notifying subscribers that they
must opt out of a subscription if they want it to end. For example an
individual may subscribe to a magazine under favorable terms for a
year subscription for ten dollars, nine months into that subscription
a notice is sent to that individual saying if you do not let us know
you wish to cancel, we will continue your subscription for another
year at the rate of thirty-five dollars.

PRIOR LEGISLATIVE HISTORY:

New Bill.

FISCAL IMPLICATIONS:

None

EFFECTIVE DATE:

This act will take effect on the ninetieth day.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2076--B
    Cal. No. 443

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 10, 2013
                               ___________

Introduced  by Sen. GRISANTI -- read twice and ordered printed, and when
  printed to be committed to the Committee  on  Consumer  Protection  --
  committee  discharged,  bill amended, ordered reprinted as amended and
  recommitted to said committee -- reported favorably from said  commit-
  tee,  ordered  to first and second report, ordered to a third reading,
  amended and ordered reprinted, retaining its place  in  the  order  of
  third reading

AN  ACT  to  amend the general business law, in relation to requirements
  for the renewal of magazine subscriptions

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Subdivision 5 of section 335-a of the general business law
is renumbered subdivision 6 and a new subdivision 5 is added to read  as
follows:
  5.  (A)  IT  SHALL BE UNLAWFUL FOR ANY PUBLISHER OF A MAGAZINE SOLD BY
SUBSCRIPTION OR ANY PERSON, FIRM, ASSOCIATION OR CORPORATION ENGAGED  IN
BUSINESS,  THE  PRINCIPAL PURPOSE OF WHICH IS TO REGULARLY SOLICIT MAGA-
ZINE SUBSCRIPTION ORDERS FOR DELIVERY IN THIS STATE THROUGH THE MAIL FOR
PROFIT, TO DO ANY OF THE FOLLOWING:
  (I) FAIL TO PRESENT THE AUTOMATIC RENEWAL OFFER  TERMS  OR  CONTINUOUS
SERVICE  OFFER  TERMS  IN  A  CLEAR  AND  CONSPICUOUS  MANNER BEFORE THE
SUBSCRIPTION OR PURCHASING AGREEMENT IF FULFILLED;
  (II) CHARGE THE CONSUMER'S CREDIT OR  DEBIT  CARD  OR  THE  CONSUMER'S
ACCOUNT  WITH  A  THIRD  PARTY  FOR  AN  AUTOMATIC RENEWAL OR CONTINUOUS
SERVICE WITHOUT FIRST OBTAINING THE CONSUMER'S  AFFIRMATIVE  CONSENT  TO
THE AGREEMENT CONTAINING THE AUTOMATIC RENEWAL OFFER TERMS OR CONTINUOUS
SERVICE OFFER TERMS; OR
  (III)  FAIL  TO  PROVIDE AN ACKNOWLEDGMENT THAT INCLUDES THE AUTOMATIC
RENEWAL OR CONTINUOUS SERVICE  OFFER  TERMS,  CANCELLATION  POLICY,  AND
INFORMATION REGARDING HOW TO CANCEL IN A MANNER THAT IS CAPABLE OF BEING
RETAINED BY THE CONSUMER.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05346-07-3

S. 2076--B                          2

  (B) A PUBLISHER OR BUSINESS ENTITY MAKING AUTOMATIC RENEWAL OR CONTIN-
UOUS  SERVICE  OFFERS  SHALL PROVIDE A TOLL-FREE TELEPHONE NUMBER, ELEC-
TRONIC MAIL ADDRESS, A POSTAL ADDRESS  ONLY  WHEN  THE  SELLER  DIRECTLY
BILLS  THE  CONSUMER, OR ANOTHER COST-EFFECTIVE, TIMELY, AND EASY-TO-USE
MECHANISM FOR CANCELLATION.
  (C)  IN  THE  CASE  OF A MATERIAL CHANGE IN THE TERMS OF THE AUTOMATIC
RENEWAL OR CONTINUOUS SERVICE OFFER THAT HAS BEEN ACCEPTED BY A CONSUMER
IN THIS STATE, THE  PUBLISHER  OR  BUSINESS  ENTITY  SHALL  PROVIDE  THE
CONSUMER  WITH A CLEAR AND CONSPICUOUS NOTICE OF THE MATERIAL CHANGE AND
PROVIDE INFORMATION REGARDING HOW TO CANCEL.
  S 2. This act shall take effect on the ninetieth day  after  this  act
shall have become a law.

S2076C (ACTIVE) - Bill Details

Current Committee:
Law Section:
General Business Law
Laws Affected:
Amd §335-a, Gen Bus L

S2076C (ACTIVE) - Bill Texts

view summary

Relates to automatic renewals of magazine subscriptions; requires certain notice and protections.

view sponsor memo
BILL NUMBER:S2076C

TITLE OF BILL: An act to amend the general business law, in relation
to requirements for the renewal of magazine subscriptions

PURPOSE: To prohibit magazine publishers or firms directly associated
with them from certain practices as they relate to automatic renewal
of their subscription.

SUMMARY OF SPECIFIC PROVISIONS: Section 1 states that no publisher or
associated corporation shall- fail to represent automatic renewal
terms in a clear and conspicuous manner before the agreement is
fulfilled. Further they shall not charge the consumer without first
obtaining the consumer's affirmative consent to the agreement of
renewal. This section also requires acknowledgement and information on
how to cancel, while requiring information be presented on how to
contact the company to cancel. This section also expressly requires
that material changes in the terms and conditions shall be provided
with a clear and conspicuous notice and information on how to cancel.

Section 2 is the effective date.

JUSTIFICATION: This legislation does nothing to prevent the use of
automatic renewal, however it does attempt to get at the misuse of
automatic renewal that has previously been settled by a Federal
Settlement between magazine publishers and numerous Attorney Generals.

Many time consumers will Purchase a subscription to a magazine at a
discounted rate, or at a regular rate and use that time to decide
whether or not they enjoy that magazine and wish to continue receiving
it at the end of the term. At the end of that time frame it should be
the consumers choice to opt to continue receiving that magazine.

However some magazine companies and their affiliates change the terms
mid way through the subscription by notifying subscribers that they
must opt out of a subscription if they want it to end. For example an
individual may subscribe to a magazine under favorable terms fox a
year subscription for ten dollars, nine months into that subscription
a notice is sent to that individual saying if you do not let us know
you wish to cancel, we will continue your subscription for another
year at the rare of thirty-five dollars.

PRIOR LEGISLATIVE HISTORY: New Bill.

FISCAL IMPLICATIONS: None

EFFECTIVE DATE: This act will take effect on the ninetieth day.

view full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2076--C
    Cal. No. 443

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 10, 2013
                               ___________

Introduced  by Sen. GRISANTI -- read twice and ordered printed, and when
  printed to be committed to the Committee  on  Consumer  Protection  --
  committee  discharged,  bill amended, ordered reprinted as amended and
  recommitted to said committee -- reported favorably from said  commit-
  tee,  ordered  to first and second report, ordered to a third reading,
  amended and ordered reprinted, retaining its place  in  the  order  of
  third  reading  --  again amended and ordered reprinted, retaining its
  place in the order of third reading

AN ACT to amend the general business law, in  relation  to  requirements
  for the renewal of magazine subscriptions

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision 5 of section 335-a of the general business  law
is  renumbered subdivision 6 and a new subdivision 5 is added to read as
follows:
  5. (A) IT SHALL BE UNLAWFUL FOR ANY PUBLISHER OF A  MAGAZINE  SOLD  BY
SUBSCRIPTION  OR ANY PERSON, FIRM, ASSOCIATION OR CORPORATION ENGAGED IN
BUSINESS, THE PRINCIPAL PURPOSE OF WHICH IS TO REGULARLY  SOLICIT  MAGA-
ZINE SUBSCRIPTION ORDERS FOR DELIVERY IN THIS STATE THROUGH THE MAIL FOR
PROFIT,  TO  CHARGE  A CONSUMER'S CREDIT OR DEBIT CARD OR THE CONSUMER'S
ACCOUNT WITH A THIRD  PARTY  FOR  AN  AUTOMATIC  RENEWAL  OR  CONTINUOUS
SERVICE BEFORE BOTH OF THE FOLLOWING:
  (I)  THE  CONSUMER'S AFFIRMATIVE CONSENT TO THE AGREEMENT THAT IT WILL
BE AUTOMATICALLY RENEWED OR CONTINUED; AND
  (II) CLEAR AND CONSPICUOUS DISCLOSURE  OF  THE  AUTOMATIC  RENEWAL  OR
CONTINUOUS  SERVICE  TERMS,  CANCELATION  POLICY, AND HOW TO CANCEL IN A
MANNER THAT IS CAPABLE OF BEING RETAINED BY THE CONSUMER.
  (B) A PUBLISHER OR BUSINESS ENTITY MAKING AUTOMATIC RENEWAL OR CONTIN-
UOUS SERVICE OFFERS SHALL PROVIDE A TOLL-FREE  TELEPHONE  NUMBER,  ELEC-
TRONIC  MAIL  ADDRESS,  A  POSTAL  ADDRESS ONLY WHEN THE SELLER DIRECTLY

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05346-08-3

S. 2076--C                          2

BILLS THE CONSUMER, OR ANOTHER COST-EFFECTIVE, TIMELY,  AND  EASY-TO-USE
MECHANISM FOR CANCELLATION.
  (C)  IN  THE  CASE  OF A MATERIAL CHANGE IN THE TERMS OF THE AUTOMATIC
RENEWAL OR CONTINUOUS SERVICE OFFER THAT HAS BEEN ACCEPTED BY A CONSUMER
IN THIS STATE, THE  PUBLISHER  OR  BUSINESS  ENTITY  SHALL  PROVIDE  THE
CONSUMER  WITH A CLEAR AND CONSPICUOUS NOTICE OF THE MATERIAL CHANGE AND
PROVIDE INFORMATION REGARDING HOW TO CANCEL.
  S 2. This act shall take effect on the ninetieth day  after  it  shall
have become a law.

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