First Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
ENGROSSED
This Version Includes All Amendments Adopted
on Second Reading in the House of Introduction
LLS NO. 25-0310.01 Josh Schultz x5486
SENATE BILL 25-145
Senate Committees House Committees
Business, Labor, & Technology
A BILL FOR AN ACT
C
ONCERNING THE RIGHT OF A CONSUMER TO CANCEL AUTOMATIC101
RENEWAL CONTRACTS ONLINE .102
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov
.)
Under current law, if a consumer consents to an automatic renewal
contract for a good or service through an online medium, the person that
sells the good or service may provide the consumer with an opportunity
to cancel the automatic renewal contract either online or in person.
The bill changes this provision to state that the person that sells the
good or service is required to provide the consumer with an opportunity
SENATE
Amended 2nd Reading
March 20, 2025
SENATE SPONSORSHIP
Kipp,
HOUSE SPONSORSHIP
Lindsay and Zokaie, Hamrick
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. to cancel the automatic renewal contract online if the consumer consented
to the automatic renewal contract through an online medium.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 6-1-732, repeal and2
reenact, with amendments, (2)(d); and add (1)(d.7), (2.5), and (7) as3
follows:4
6-1-732. Automatic renewal contracts - unlawful acts -5
required disclosures - right to cancel - trial period offers - exemptions6
- rules - definitions. (1) As used in this section, unless the context7
otherwise requires:8
(d.7) "O
NE-STEP ONLINE CANCELLATION " MEANS AN ONLINE
9
METHOD OF CANCELLATION THAT DOES NOT REQUIRE ADDITIONAL ACTION10
FROM THE CONSUMER WHICH OBST RUCTS OR DELAYS THE CONSUMER 'S11
ABILITY TO TERMINATE AN AUTOMATIC RENEWAL CONTRACT OR12
CONTINUOUS SERVICE IMMEDIATELY .13
(2) It is unlawful for a person that offers an automatic renewal14
contract to a consumer in this state to:15
(d) F
AIL TO PROVIDE A SIMPLE , COST-EFFECTIVE, TIMELY,16
EASY-TO-USE, AND READILY ACCESSIBLE MECHANISM FOR CANCELING AN17
AUTOMATIC RENEWAL CONTRACT OR TRIAL PERIOD OFFER . A PERSON IS18
DEEMED TO COMPLY WITH THIS SUBSECTION (2)(d) IF THE PERSON OFFERS:19
(I)
A ONE-STEP ONLINE CANCELLATION LINK TO A CONSUMER WHO20
CONSENTED TO THE AUTOMATIC RENEWAL CONTRACT OR TRIAL PERIOD21
OFFER THROUGH A WEBSITE OR OTHER ONLINE MEDIUM OR THROUGH AN22
ELECTRONIC COMMUNICATION , AND THE ONE-STEP ONLINE CANCELLATION23
LINK IS:24
(A) L
OCATED ON THE PERSON'S WEBSITE OR CONTAINED IN AN25
145-2- ELECTRONIC DEVICE OR SERVICE OR AN ELECTRONIC COMMUNICATION1
MADE TO THE CONSUMER ; AND2
(B) A
VAILABLE TO THE CONSUMER IMMEDIATELY AFTER THE3
CONSUMER COMPLETES A REASONABLE AUTHENTICATION PROTOCOL USED4
SOLELY TO CONFIRM THAT THE CONSUMER IS AUTHORIZED TO MAKE5
CHANGES TO THE ACCOUNT ; OR6
(II) O
NE OF THE FOLLOWING MEANS OF CANCELING THE7
AUTOMATIC RENEWAL CONTRACT TO THE CONSUMER IF THE CONSUMER8
CONSENTED TO THE AUTOMATIC RENEWAL CONTRACT OR TRIAL PERIOD9
OFFER THROUGH MEANS OTHER THAN THOSE LISTED IN SUBSECTION10
(2)(d)(I)
OF THIS SECTION:11
(A) A
ONE-STEP ONLINE CANCELLATION LINK THAT IS LOCATED ON12
THE PERSON'S WEBSITE OR CONTAINED IN AN ELECTRONIC DEVICE OR13
SERVICE OR AN ELECTRONIC COMMUNICATION MADE TO THE CONSUMER14
AND AVAILABLE TO THE CONSUMER IMMEDIATELY AFTER THE CONSUMER15
COMPLETES A REASONABLE AUTHENTICATION PROTOCOL USED SOLELY TO16
CONFIRM THAT THE CONSUMER IS AUTHORIZED TO MAKE CHANGES TO THE17
ACCOUNT; OR18
(B) A
N IN-PERSON MECHANISM FOR CANCELING AN AUTOMATIC19
RENEWAL CONTRACT OR TRIAL PERIOD OFFER THAT IS AT A PHYSICAL20
LOCATION WHERE THE CONSUMER REGULARLY UTILIZES ANY GOODS OR21
SERVICES THAT ARE SUBJECT TO THE AUTOMATIC RENEWAL CONTRACT22
AND SATISFIES THE REQUIREMENTS OF THIS SUBSECTION (2)(d).23
(2.5) I
F A CONSUMER REQUESTS TO CANCEL AN AUTOMATIC
24
RENEWAL CONTRACT BY AN ONLINE SYSTEM , A PERSON MAY DISPLAY A25
DISCOUNTED OFFER, A RETENTION BENEFIT, OR INFORMATION REGARDING26
THE EFFECTS OF CANCELLATION IF THE BUSINESS SIMULTANEOUSLY27
145
-3- DISPLAYS A PROMINENTLY LOCATED AND CONTINUOUSLY PROXIMATE1
DIRECT LINK TO CANCEL ALONGSIDE THE PRESENTATION OF THE2
DISCOUNTED OFFER, RETENTION BENEFIT, OR INFORMATION REGARDING3
THE EFFECTS OF CANCELLATION. IF THE CONSUMER UTILIZES THE DIRECT4
LINK TO CANCEL, THE BUSINESS SHALL PROMPTLY PROCESS THE5
CANCELLATION AND SHALL NOT OTHERWISE OBSTRUCT OR DELAY THE6
CONSUMER'S REQUEST TO CANCEL.7
(7) T
HE ATTORNEY GENERAL MAY ADOPT RULES AS NECESSARY
8
FOR THE PURPOSE OF IMPLEMENTING AND ENFORCING THIS SECTION .9
SECTION 2. Act subject to petition - effective date -10
applicability. (1) This act takes effect at 12:01 a.m. on the day following11
the expiration of the ninety-day period after final adjournment of the12
general assembly; except that, if a referendum petition is filed pursuant13
to section 1 (3) of article V of the state constitution against this act or an14
item, section, or part of this act within such period, then the act, item,15
section, or part will not take effect unless approved by the people at the16
general election to be held in November 2026 and, in such case, will take17
effect on the date of the official declaration of the vote thereon by the18
governor.19
(2) This act applies to automatic renewal contracts offered or20
renewed on or after the applicable effective date of this act.21
145
-4-