S T A T E O F N E W Y O R K
________________________________________________________________________
5108
2015-2016 Regular Sessions
I N S E N A T E
May 1, 2015
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Introduced by Sen. FUNKE -- 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 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
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.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02815-01-5