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Bill

AB 656

Account cancellation.

2025-2026 Regular Session Introduced by Josh Lowenthal and 1 co-sponsor

California law requires businesses to provide customers an easy online method to cancel accounts as simply as they were created, effective immediately upon governor approval.

Chaptered by Secretary of State - Chapter 464, Statutes of 2025.
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Bill Summary · AB 656

Legislative bill overview

AB 656 requires businesses to provide customers with a simple, accessible method to cancel accounts or memberships online, matching the ease with which accounts were created. The law applies to companies that allow online account creation and prohibits practices that make cancellation unnecessarily difficult or time-consuming.

Why is this important

Consumers frequently struggle to cancel subscriptions and memberships due to deliberately complicated cancellation processes—sometimes requiring phone calls, certified letters, or navigating multiple website pages. This law addresses a widespread consumer protection issue, preventing companies from using friction-based retention tactics and protecting Californians from unwanted charges.

Potential points of contention

  • Business burden: Companies must reprogram systems and customer service workflows to comply, creating operational and IT costs, particularly for smaller businesses
  • Scope ambiguity: The definition of "simple and accessible" may be interpreted differently, potentially leading to legal disputes about compliance
  • Enforcement mechanisms: The bill's effectiveness depends on regulatory agencies having adequate resources to investigate complaints and enforce penalties
  • Competitive disadvantage: California businesses face compliance costs that out-of-state competitors may not, potentially affecting competitiveness

Compiled from official sources — confirm details with the bill’s official record.

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