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Committee advances bill requiring simple cancellation for subscriptions and limits on negative‑option features

Consumer Affairs Committee · May 15, 2025
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Summary

A 53 95, released May 15, would require subscription providers using negative‑option features to offer a simple cancellation mechanism, allow the Attorney General or Division director to seek injunctions and restitution, and exempts services regulated by certain federal/state agencies; the committee released the bill as amended.

The Consumer Affairs Committee voted May 15 to release Assembly Bill A 53 95 as amended, a measure aimed at making it easier for consumers to cancel subscription services and placing standards on negative‑option features. Committee staff read the amendments, which clarify that a provider using a negative‑option feature must provide a simple cancellation mechanism, remove a requirement to immediately halt charges upon cancellation, and authorize the Attorney General or the Director of the Division of Consumer Affairs to seek temporary or permanent injunctions and restitution for affected New Jersey residents.

The amendments also clarify that individuals cannot pursue a private right of action under the bill and that the bill’s violations cannot form the basis for a private right of action under other law. The bill exempts services provided by businesses or affiliates that are licensed or regulated by state or federal agencies — examples listed by the clerk included the Board of Public Utilities, Federal Communications Commission, Federal Energy Regulatory Commission, and the Department of Banking and Insurance.

Committee members recorded no public testimony beyond a staff note that the New Jersey State Chamber of Commerce is neutral on the bill as amended. A motion to amend and release A 53 95 carried on a roll call vote and the committee released the bill as amended.

The committee’s action advances A 53 95 to the next legislative stage.