HF 4408 Summary

• Defines "indefinite subscription agreement" as any subscription or purchasing agreement between a Minnesota seller and consumer subject to automatic renewal or continuous service.

• Requires sellers to disclose offer terms clearly and conspicuously before consumer acceptance, including cancellation policy, recurring charges, renewal term length, and any minimum purchase obligations.

• Mandates sellers provide consumers with timely written confirmation of acceptance containing termination options via toll-free phone, email, postal address, online portal, or equivalent method.

• Prohibits charging consumers before agreement authorization and effective date; requires advance written notice 5-30 days before automatic renewal or at least annually for continuous service agreements.

• Allows consumers to terminate automatic renewal agreements at end of current term or continuous service agreements immediately; provides enforcement authority to Minnesota Attorney General with civil penalties, except for good faith compliance efforts.

• Takes effect January 1, 2024, and applies to contracts entered into, modified, or renewed on or after that date.