Years ago, I had a SiriusXM subscription for my car. It was easy to sign up online. I didn't have to talk to anybody. When I sold the car, I tried to cancel the subscription, but the only way to do it was by calling them on the phone. I called the number and went through a voice mail maze to get to the cancellation option. And then… nothing. Literally, nothing happened. No recording, no ringing, just silence.
I hung up and tried again with the same result. I tried again the next day. Nada.
I eventually found a service that specialized in canceling SiriusXM subscriptions. I think it was $50. I paid it and, miraculously, it worked. My subscription was canceled. My guess is the cancellation company was run by a Sirius employee who split the money with a contact on the inside.
California's new "Click to Cancel" law, set to take effect in mid-2025, aims to prevent such maddening experiences. Under this law, companies will be required to provide cancellation methods that are as simple as their sign-up processes. For instance, if a subscription can be initiated online, customers must be able to cancel it online with equal ease.
From the California Government website:
AB 2863 by Assemblymember Pilar Schiavo (D-Chatsworth) addresses complicated auto-renewing subscription services that are easy to sign up for but hard to cancel. The bill requires companies offering automatic renewals and continuous services to provide consumers a means to cancel the subscription using the same medium they used to sign up; for example, a person who subscribes online has to be given an online click-to-cancel option. This ensures that consumers can easily exit from services they no longer want, without being trapped by confusing processes or hidden fees.
"At a time when too many in our community are struggling, unwanted subscription renewals can really add up. AB 2863 is the most comprehensive 'Click to Cancel' legislation in the nation, ensuring Californians can cancel unwanted automatic subscription renewals just as easily as they signed up – with just a click or two," said Assemblymember Schiavo. "California is setting a model for the nation on protecting consumers from unnecessary charges – giving them more control over their finances and helping to ensure fair business practices, providing a win for both consumers and small businesses. I'm grateful that this important legislation was signed, as it will mean more money in the pockets of people throughout our community."
