Delaware 149th General Assembly (2017-2018) Status: In Committee 2 D cosponsors

HB 321 — AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO CONSUMER CONTRACTS.

Last action — Introduced and Assigned to Economic Development/Banking/Insurance/Commerce Committee in House

  1. ✓
    Introduced
  2. 2
    In Committee
  3. 3
    Passed House
  4. 4
    Passed Senate
  5. 5
    To Executive
  6. 6
    Enacted

This bill died with 149th General Assembly (2017-2018). It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

This bill is no longer active — its legislative session has ended, so there are no live odds of enactment. It would have to be reintroduced in the current session to move again.

Summary

This Act requires that consumer contracts which contain automatic renewal provisions, also known as “evergreen clauses”, must clearly and conspicuously disclose the terms of the automatic renewal and procedures for cancelling the renewal. In contracts that renew after 12 months or more, the provider of goods or services must provide an additional written notice to the consumer no less than 60 and no more than 30 days before the time for cancellation expires, along with information on how to cancel. This provision allows businesses to continue the practice of using automatic renewals, while seeking to ensure consumers are fully aware of the terms of the contract and are not caught off guard by a renewal buried somewhere in the fine print. Violation of the terms of this Act can result in an award to the consumer of treble damages plus attorneys fees and may also be addressed through the authority of the Consumer Protection Unit of the Department of Justice pursuant to provisions in subchapter IV. A business will not be held liable if it can show that it has put in place policies and procedures to comply with this Act, and that any violation of the renewal provisions was the result of an error, and that any funds collected from a consumer in violation of the Act have been refunded.

Bill Text

Action History

  1. Introduced and Assigned to Economic Development/Banking/Insurance/Commerce Committee in House

Sponsors

Sponsorship breakdown

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3 sponsors · 4 co-sponsors · 55 not signed on

Sponsors (3)

Co-sponsors (4)

Not signed on (55)

55 members have not signed on to this bill.

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"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

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Subjects

finance civil-rights
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Frequently asked questions

What does HB 321 do?
This Act requires that consumer contracts which contain automatic renewal provisions, also known as “evergreen clauses”, must clearly and conspicuously disclose the terms of the automatic renewal and procedures for cancelling the renewal. In contracts that renew after 12 months or more, the provider of goods or services must provide an additional written notice to the consumer no less than 60 and no more than 30 days before the time for cancellation expires, along with information on how to cancel. This provision allows businesses to continue the practice of using automatic renewals, while seeking to ensure consumers are fully aware of the terms of the contract and are not caught off guard by a renewal buried somewhere in the fine print. Violation of the terms of this Act can result in an award to the consumer of treble damages plus attorneys fees and may also be addressed through the authority of the Consumer Protection Unit of the Department of Justice pursuant to provisions in subchapter IV. A business will not be held liable if it can show that it has put in place policies and procedures to comply with this Act, and that any violation of the renewal provisions was the result of an error, and that any funds collected from a consumer in violation of the Act have been refunded.
Who sponsors HB 321?
HB 321 is sponsored by Debra Heffernan (Democratic), David P. Sokola (Democratic), John A. Kowalko, Helene M. Keeley, Catherine Cloutier, Brian J. Bushweller, and Harris B. McDowell.
What is the current status of HB 321?
This bill died with 149th General Assembly (2017-2018). It reached “In Committee” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
Where can I track HB 321?
Track HB 321 free on One Click Politics — get push/email alerts when it moves.

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