| Momentum Bucket | Early Stage |
| Legal Title | AN ACT Relating to requiring refunds to consumers for early cancellation of term-based subscriptions to electronic media services; |
| Bill Description | Requiring refunds to consumers for early cancellation of term-based subscriptions to electronic media services. |
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What this bill does
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This bill creates a new consumer protection law by adding a new chapter to Title 19 RCW that requires commercial electronic media services to issue subscription refunds and disclose refund schedules. It establishes procedural rules: cancellations of covered subscriptions take effect at the end of the month the cancellation occurs; refunds must be calculated pro rata through the end of that month based on amounts paid and agreed charges; services must disclose any applicable refund schedule upon or before initiating a subscription; and refunds must be disbursed within a reasonable time not to exceed six months from cancellation. The bill identifies violations for failing to issue refunds, failing to disclose refund schedules when initiating subscriptions, and failing to disburse refunds within the time limit.
The bill defines key terms such as automatic renewal, cancellation, consumer (excluding commercial businesses, government, and NGOs), electronic media, electronic media service, subscription (defined as an agreement for at least one year), refund, and refund schedule. It refers to and sits alongside the state consumer protection act (chapter 19.86 RCW). Enforcement is limited to the Washington State Attorney General, who alone may bring actions in the name of the state or as parens patriae; the chapter does not create a private right of action. The text does not specify the new chapter number, detailed remedies or penalties beyond AG enforcement, the exact refund calculation formula or disbursement method, or how the law applies to subscriptions shorter than one year.
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Why it matters
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If enacted, consumers of paid digital music, news, or other entertainment subscriptions will generally be entitled to partial refunds when they cancel: cancellations take effect at the end of the cancellation month and refunds are calculated pro rata through that month, must be disclosed at or before signup, and must be paid within a reasonable time but no later than six months. Providers will need to change their billing and customer-facing terms to publish refund schedules, handle pro rata refund calculations, and hold funds or otherwise manage the cash flow impact of refunds; automatic renewals remain allowed and consumers can waive refunds if they accept other consideration.
The businesses most affected are commercial electronic media services (streaming and similar subscription providers), which will face new operational costs, potential short-term cash liabilities, and exposure to enforcement by the Washington Attorney General if they fail to disclose or pay refunds as required. Consumers gain clearer refund rights but cannot bring private lawsuits under the new chapter; important details are unclear from the text provided, including the exact refund formula, specific enforcement remedies or penalties, the required form of disbursement, and whether subscriptions shorter than one year are covered.
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| Official Documents | View Full Bill Text |
| Date Introduced | 02/13/2025 |
| Originating Chamber | Senate |
| Biennium | 2025-26 |
| Total Campaign Dollars Backing Bill | $2,580,513.75 |
| BUSINESSES |
| TELECOMMUNICATIONS |
| Hearing | Senate Business, Trade & Economic Development (Public) |
| Hearing | Senate Business, Trade & Economic Development (Executive) |