Rule CG-TRB-005

Offers and pricing: what rule CG-TRB-005 checks

Rule CG-TRB-005 is one of the checker's offers and pricing rules. It cites 16 CFR Part 425. The reason, source and safer wording are below.

CG-TRB-005 · Blocks approval · Citation checked against stored text
Free trials that convert to paid plans without clear disclosure and cancellation that is harder than sign-up violate the negative option rule and state automatic renewal laws.
Source: Restore Online Shoppers Confidence Act (ROSCA), 15 USC 8403; FTC Negative Option Rule, 16 CFR Part 425; FTC Act section 5; state automatic renewal laws
Safer wording: Disclose price, billing date and renewal terms next to the offer, and let people cancel the same way they signed up.
16 CFR Part 425 · Needs counsel review

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