Automatic Renewal Law

California's Next Class Action Craze*

California's Next Class Action Craze*

The penalties for failing to comply with the California Automatic Renewal Law (ARL) are severe. If a company fails to follow the ARL's very specific and detailed rules, the law deems all "goods, wares, merchandise or products" sold as "unconditional gifts." This has allowed plaintiffs' attorneys to argue that a company which violates the ARL must return 100% of its proceeds to every single California customer since 2010.