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Bill

SB 493

Consumer protection; automatic renewal or continuous service offers, disclosure and cancellation.

2026 Regular Session Introduced by Stella Pekarsky and 1 co-sponsor

Virginia law now requires businesses to get explicit consent before auto-charging customers and provide easy cancellation methods, protecting consumers from hidden recurring fees.

Approved by Governor-Chapter 932 (effective 7/1/2026)
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Bill Summary · SB 493

Legislative bill overview

SB 493 strengthens Virginia's consumer protection laws governing automatic renewal and continuous service offers by requiring businesses to obtain explicit informed consent before charging customers and establishing clear, accessible cancellation mechanisms. The bill mandates that companies disclose material terms upfront, obtain affirmative consent, and provide simple methods for consumers to cancel subscriptions or recurring charges.

Why is this important

Automatic renewal practices—where companies charge recurring fees unless customers actively cancel—cost consumers billions annually through difficulty canceling, hidden terms, and forgotten subscriptions. This bill addresses a widespread complaint where consumers struggle to cancel services that were easy to sign up for, creating friction that benefits businesses at consumer expense. Clear disclosure and cancellation rights give consumers genuine control over their finances.

Potential points of contention

  • Business compliance costs: Companies may face operational expenses updating billing systems, obtaining explicit consent, and maintaining cancellation infrastructure, potentially raising service costs
  • Definition scope: Ambiguity about what qualifies as "automatic renewal" could create disputes (e.g., whether monthly utility billing or subscription boxes are covered)
  • Enforcement mechanisms: The bill's effectiveness depends on adequate regulatory resources and meaningful penalties; weak enforcement renders protections symbolic

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

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