Automatic renewal and continuous service offers
HB2851 would add a new consumer-protection section to West Virginia’s Consumer Credit and Protection Act requiring businesses that offer automatic renewals or continuous services to obtain a consumer’s express affirmative consent before charging the consumer. The bill defines key terms such as “automatic renewal,” “continuous service,” “free-to-pay conversion,” and “clear and conspicuous,” and it sets detailed disclosure rules for subscription offers, free trials, promotional pricing, and recurring billing. Businesses would have to present renewal terms prominently before the consumer completes the purchase, provide a retained acknowledgment with cancellation information, and avoid contract language that undermines consent.
The bill also requires businesses to maintain proof of consent, provide specific pre-billing notices in certain circumstances, and offer straightforward cancellation methods. For online sign-ups, businesses must allow online cancellation without unnecessary steps, and for telephone or other non-online sign-ups, cancellation must be available in the same medium or an equally accessible one. The bill further requires notices for material changes, fee increases, and annual reminders for annual renewal agreements. Its provisions would apply to contracts entered into, amended, or extended on or after July 1, 2025.
HB2851 would amend §46A-1-102 and add new §46A-2-141 to the West Virginia Code, expanding the state’s consumer protection framework for subscription and recurring-service billing. It would impose affirmative-consent, disclosure, recordkeeping, notice, and cancellation obligations on businesses that market auto-renewing subscriptions, memberships, and continuous service arrangements, including digital services and free-trial conversions. Consumers would gain stronger rights to understand recurring charges and to cancel without barriers, while businesses would face new compliance requirements and potential liability for noncompliance.
The bill’s stated purpose and structure indicate a generally consumer-protection-oriented approach, with the Legislature seeking to curb surprise renewals and difficult cancellation practices. Because there are no recorded committee transcripts or votes in the provided material, there is no direct evidence of debate or opposition in the available record. Based on the text alone, the bill appears designed to be protective of consumers and operationally prescriptive for businesses.
The main likely points of contention are the administrative burden on businesses, especially those using subscription models, free trials, or promotional pricing, and the specificity of the cancellation and notice requirements. Businesses may object to the need for express affirmative consent, retention of consent records for years, annual reminders, and online cancellation mandates that limit retention tactics. Consumer advocates would likely support those same provisions as necessary to prevent deceptive or hard-to-cancel recurring charges. No specific opposing or supporting speakers are identified in the provided materials.