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A07231 Summary:

BILL NOA07231
 
SAME ASSAME AS S04391
 
SPONSORBichotte Hermelyn
 
COSPNSRSantabarbara
 
MLTSPNSR
 
Add §527-b, Gen Bus L
 
Requires mobile applications on cell phones, smart phones and tablets that offer a subscription service provide an option to cancel the subscription on its application and have the option posted in a clear and conspicuous format.
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A07231 Actions:

BILL NOA07231
 
03/21/2025referred to consumer affairs and protection
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A07231 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A7231
 
SPONSOR: Bichotte Hermelyn
  TITLE OF BILL: An act to amend the general business law, in relation to requiring mobile applications on electronic devices which provide a subscription service shall allow the cancellation of such service through its appli- cation   PURPOSE: This bill aims to mandate that all mobile applications offering subscription services include an easily accessible option within the application for users to cancel their subscriptions.   SUMMARY OF SPECIFIC PROVISIONS: Section 1 amends the General Business Law by adding a new section 527-b, which defines terms related to electronic devices and mobile applica- tions. Section 2 mandates that any mobile application connected to a wireless telephone service and uses a subscription model must provide an option to cancel the subscription through the application. Section 3 requires these applications to clearly and conspicuously post a direct link or button to cancel automatic renewal subscriptions. Section 4 specifies that the requirements do not apply to mobile appli- cations primarily used to complement a subscription that provides access to a physical business location. Section 5 stipulates the effective date.   JUSTIFICATION: This legislation addresses the modern need for greater consumer control over subscription services accessed through mobile applications. The current practice often makes it difficult for users to cancel subscriptions, leading to unwanted renewals and financial burdens. By ensuring that users can easily cancel subscriptions directly within the app, this bill promotes transparency and fairness in digital commerce.   LEGISLATIVE HISTORY: 05/28/24 print number 9195c 05/28/24 amend and recommit to consumer affairs and protection 05/16/24 print number 9195b 05/16/24 amend and recommit to consumer affairs and protection 05/10/24 print number 9195a 05/10/24 amend and recommit to consumer affairs and protection 02/12/24 referred to consumer affairs and protection   FISCAL IMPLICATIONS: None   EFFECTIVE DATE: This act shall take effect 90 days after the chaptering of this bill,
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A07231 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          7231
 
                               2025-2026 Regular Sessions
 
                   IN ASSEMBLY
 
                                     March 21, 2025
                                       ___________
 
        Introduced  by  M.  of A. BICHOTTE HERMELYN -- read once and referred to
          the Committee on Consumer Affairs and Protection
 
        AN ACT to amend the general  business  law,  in  relation  to  requiring
          mobile applications on electronic devices which provide a subscription
          service  shall  allow  the  cancellation  of  such service through its
          application

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section 1. The general business law is amended by adding a new section
     2  527-b to read as follows:
     3    §  527-b.  Electronic device applications. 1. For the purposes of this
     4  section, the following terms shall have the following meanings:
     5    (a) "Electronic device" shall mean any cell  phone,  smart  phone,  or
     6  tablet used by consumers connected to a wireless telephone service.
     7    (b)  "Mobile  application"  shall  mean third-party software developed
     8  specifically for use on electronic devices.
     9    (c) "Digital services" shall mean services provided via  the  internet
    10  or  an  electronic  network, which are delivered to the consumer through
    11  the use of electronic devices.
    12    2. Any mobile application provider on an electronic  device  connected
    13  to  a  wireless  telephone  service  that uses a subscription model that
    14  relies on automatic renewal on its mobile application shall provide  its
    15  customers  an  option  to  cancel  such subscription service through its
    16  mobile application.
    17    3. Any mobile application that  provides  a  subscription  model  that
    18  relies on automatic renewal shall post in a clear and conspicuous format
    19  a  direct  link  or  button where a consumer can terminate the automatic
    20  renewal subscription model.
    21    4. This section shall not apply to mobile applications that are prima-
    22  rily used to complement a subscription model that provides access  to  a
    23  physical business location.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD08378-01-5

        A. 7231                             2
 
     1    §  2.  This  act shall take effect on the ninetieth day after it shall
     2  have become a law.    Effective  immediately,  the  addition,  amendment
     3  and/or repeal of any rule or regulation necessary for the implementation
     4  of  this  act  on  its  effective  date  are  authorized  to be made and
     5  completed on or before such effective date.
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