Bill to Make it Easier for Consumers to End Automatic Contract Renewals Fully Goes Into Effect

SB25-145 requires sellers to offer simple online cancellation of automatic renewal contracts or trial periods

DENVER, CO – Legislation to protect consumers from burdensome automatic renewal contract cancellations fully goes into effect Monday, February 16, 2026.

Sponsored by Senator Cathy Kipp, D-Fort Collins, and Representatives Mandy Lindsay, D-Aurora, and Yara Zokaie, D-Fort Collins, SB25-145 requires sellers of goods and services to implement simple mechanisms for consumers to cancel automatic renewal contracts and trial periods either online or in-person. Failure to do so constitutes a deceptive trade practice under the Colorado Consumer Protection Act.

“There is nothing more frustrating than signing up for a free trial or a subscription only to have to jump through hoop after difficult hoop to try to cancel that subscription,” said Kipp. “This new law helps prevent deceptive practices and simplifies the process for Coloradans to cancel their subscriptions online, saving them time and money in the long run.”

“While companies make it simple to start a subscription online, they often add extra steps to cancel, and we do not think that is fair for Colorado consumers,” said Lindsay. “Our new law is going into effect, requiring businesses to make the cancellation process straightforward for consumers. This will save Coloradans time cancelling unwanted subscriptions and money on services or products they don’t need.”

“Too many companies are using complicated cancellation processes to trap consumers into contracts with costly charges. We passed a law last year to simplify the cancelation process for Coloradans,” said Zokaie. “From Netflix and Amazon Prime to gym memberships, subscription services are prevalent in our daily lives. Our new law requires the option to cancel online, saving Coloradans money on services they no longer find useful.”

SB25-145 builds upon HB21-1239, also sponsored by Kipp, which provided transparency to consumers entering into automatic renewal contracts, to further shore up consumer protections.