The Vermont Statutes Online

Title 9 : Commerce and Trade

Chapter 063 : Consumer Protection

Subchapter 001 : GENERAL PROVISIONS

• § 2454a. Consumer contracts; automatic renewal

  (a) A contract between a consumer and a seller or a lessor with an initial term of one year or longer that renews for a subsequent term that is longer than one month shall not renew automatically unless:

  (1) the contract states clearly and conspicuously the terms of the automatic renewal provision in plain, unambiguous language in bold-face type;

  (2) in addition to accepting the contract, the consumer takes an affirmative action to opt in to the automatic renewal provision; and

  (3) if the consumer opts in to the automatic renewal provision, the seller or lessor provides a written or electronic notice to the consumer:

  (A) not less than 30 days and not more than 60 days before the earliest of:

  (i) the automatic renewal date;

  (ii) the termination date; or

  (iii) the date by which the consumer must provide notice to cancel the contract; and

  (B) that includes:

  (i) the date the contract will terminate and a clear statement that the contract will renew automatically unless the consumer cancels the contract on or before the termination date; and

  (ii) the length and any additional terms of the renewal period.

  (b) A seller or lessor under a contract subject to subsection (a) of this section shall:

  (1) provide to the consumer a toll-free telephone number, e-mail address, a postal address if the seller or lessor directly bills the consumer, or another cost-effective, timely, and easy-to-use mechanism for canceling the contract; and

  (2) if the consumer accepted the contract online, permit the consumer to terminate the contract exclusively online, which may include a termination e-mail formatted and provided by the seller or lessor that the consumer can send without additional information.

  (c) A person who violates a provision of this section commits an unfair and deceptive act in commerce in violation of section 2453 of this title.

  (d) The provisions of this section do not apply to:

  (1) a contract between a consumer and a financial institution, as defined in 8 V.S.A. § 11101, or between a consumer and a credit union, as defined in 8 V.S.A. § 30101; or

  (2) a contract for insurance, as defined in 8 V.S.A. § 3301a. (Added 2017, No. 179 (Adj. Sess.), § 1, eff. July 1, 2019; amended 2019, No. 89 (Adj. Sess.), § 6.)