Automatic Renewal Laws: Everything to Know About the Surge in Litigation and Regulatory Enforcement

Automatic Renewal Laws (ARLs)—statutes governing continuity programs and automatically renewing contracts—have proliferated throughout the United States since 2010. Companies that offer automatic renewal programs face an increasing risk of private class actions and government investigations and enforcement actions. High-value settlements in private and government actions are increasingly common. For example:

  • In July 2022, the Southern District of New York granted final approval of a $62 million settlement in an ARL class action.
  • In 2021, the Federal Trade Commission (FTC) entered a $34 million settlement with two California companies that offered negative option contracts. As part of the settlement, both companies were permanently banned from offering any product with a negative option feature.

In this new webinar, Manatt will provide an in-depth look at ARLs, litigation and regulatory trends and steps you can take to mitigate risk for your business.

Key topics that will be covered include:

  • The Restore Online Shoppers’ Confidence Act (ROSCA), negative option agreements and the new FTC proposed rule
  • FTC investigations, actions and settlements
  • Recent state legislation and amendments to existing ARLs
  • Currently pending legislation to look out for in the next year
  • State and local investigations and enforcement actions
  • Trends in private class actions, including settlements and litigation strategy
  • Arbitration agreements and class action waivers
  • Key case law governing disclosures, post-purchase communications, pre-renewal notices and other aspects of ARLs
  • Compliance and best practices for disclosing automatic renewal terms


Date and Time:

Tuesday, April 18, 2023


This program has been approved for 1.0 NY CLE Skills (transitional and non-transitional), 1.0 CA MCLE General credit and1.0 IL MCLE General credit.

If you would like to receive an audio transcript of this webinar due to accessibility issues, please email us at

This program does not constitute legal advice, nor does it establish an attorney-client relationship. Views expressed by presenters are strictly their own and should not be construed to be the views of Manatt or attributed to Manatt.



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