Bill would require notice for renewals

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A bill passed by the Assembly on May 9 would require businesses to notify customers when a service contract is to be automatically renewed.

The measure, A-3770, was sponsored by Assemblymen Daniel R. Benson (D-Hamilton Square) and Paul D. Moriarty (D-Turnersville) and approved by the Assembly by a 69-5 vote.

“By requiring these terms to be clearly displayed and advance notice before renewal, this bill will give consumers the opportunity to make more informed choices for themselves,” Benson said in a statement.

The bill defines service contracts as a written contract for service, maintenance or repair over a fixed period of time in connection with real property. Moriarty said the bill will allow consumers to cancel unwanted service prior to renewal.  

– Andrew Kitchenman