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TX SB838

Bill

Status

Introduced

1/17/2025

Primary Sponsor

Juan Hinojosa

Click for details

Origin

Senate

89th Legislature Regular Session

AI Summary

  • Requires service providers to clearly disclose the nature of subscription contracts at signup and provide cancellation procedures within 5 days of entering the contract

  • Mandates written renewal notices between 90 and 15 days before automatic renewal for contracts of 12 months or longer that renew for more than one month

  • Requires service providers to offer multiple cancellation methods and allow consumers to cancel using the same method they used to sign up (e.g., online subscriptions must be cancellable online)

  • Establishes civil penalties of up to $2,000 per violation per month, enforceable only by the attorney general after providing a 30-day opportunity to cure initial violations; no private right of action is permitted

  • Exempts insurance contracts and health maintenance organization coverage; applies only to contracts entered into or renewed on or after September 1, 2025

Legislative Description

Relating to requirements for subscription service contracts; providing a civil penalty.

Business & Commerce

Last Action

Referred to Business & Commerce

2/13/2025

Committee Referrals

Business & Commerce2/13/2025

Full Bill Text

No bill text available