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New Jersey Statutes, Title: 56, TRADE NAMES, TRADE-MARKS AND UNFAIR TRADE PRACTICES

    Chapter 12:

      Section: 56:12-95.5: Written, electronic notification of automatic renewal provision.

          8. a. A provider that provides any service to a consumer pursuant to a service contract the term of which is a specified period of 12 months or longer and that automatically renews for a specified period of more than one month, unless the consumer cancels the contract, shall provide the consumer with written or electronic notification of the automatic renewal provision. Notification shall be provided to the consumer not less than 30 days nor more than 60 days before the cancellation deadline pursuant to the automatic renewal provision. This notification shall disclose clearly and conspicuously:

(1) that unless the consumer cancels the contract, the contract will automatically renew; and

(2) methods by which the consumer may obtain details of the automatic renewal provision and cancellation procedure, whether by contacting the provider at a specified telephone number or address, by referring to the contract, or by any other method. At a minimum, such methods shall include, for each consumer:

(a) an online method for the consumer to cancel the contract and a mailing address to which written cancellation requests may be addressed; or

(b) a telephone number that the consumer may call to cancel the contract.

b. As part of the provider's routine business practice, where the business has failed for any reason to comply with the provisions of this section, the contract holder may cancel the contract and receive the unearned portion of the contract subject to the automatic renewal provision less the amount of claims paid during that automatic renewal period, which amount shall be refunded as of the date on which the provider is notified of the error.

c. The provider shall provide written or electronic notification to the consumer not less than 30 days nor more than 60 days before any change in the procedures required of the consumer to cancel the automatic renewal provision.

d. All cancellation requests are required to be acknowledged within five business days of receipt and honored within 10 business days of receipt, and applied as of the date of receipt or, if permitted by the service contract, applied at the end of the holder's monthly billing cycle. If a cancellation request is honored within five business days of receipt, the acknowledgement requirement of this subsection shall be deemed to have been satisfied.

e. Nothing in this section shall be construed to prevent a contract holder from recovering on a claim that would be valid and covered had the regulated entity acted in compliance with P.L.2022, c.91 (C.56:12-95.1 et al.).

L.2022, c.91, s.7.

This section added to the Rutgers Database: 2022-09-02 14:32:01.






Older versions of 56:12-95.5 (if available):



Court decisions that cite this statute: CLICK HERE.