---
kind: "section"
citation: "15 U.S.C. § 8403"
title: "15"
title_heading: "Commerce and Trade"
number: "8403"
heading: "Negative option marketing on the Internet"
release: "119-102"
url: "https://uscodex.org/usc/15/8403"
units:
  - "Chapter 110 — Online Shopper Protection"
---

# §8403. Negative option marketing on the Internet


It shall be unlawful for any [person](/usc/15/78m.md?p=h-8-E) to charge or attempt to charge any [consumer](/usc/15/1615.md?p=d-2) for any goods or services sold in a transaction effected on the Internet through a negative option feature (as defined in the Federal Trade [Commission](/usc/15/78c.md?p=a-15)’s Telemarketing Sales Rule in [part 310 of title 16, Code of Federal Regulations](/cfr/16/part310.md)), unless the [person](/usc/15/78m.md?p=h-8-E)—

- (1) provides text that clearly and conspicuously discloses all material terms of the transaction before obtaining the [consumer](/usc/15/1615.md?p=d-2)’s billing information;
- (2) obtains a [consumer](/usc/15/1615.md?p=d-2)’s express informed consent before charging the [consumer](/usc/15/1615.md?p=d-2)’s [credit card](/usc/15/1681a.md?p=r-2), debit card, bank [account](/usc/15/1681a.md?p=r-4), or other financial [account](/usc/15/1681a.md?p=r-4) for products or services through such transaction; and
- (3) provides simple mechanisms for a [consumer](/usc/15/1615.md?p=d-2) to stop recurring charges from being placed on the [consumer](/usc/15/1615.md?p=d-2)’s [credit card](/usc/15/1681a.md?p=r-2), debit card, bank [account](/usc/15/1681a.md?p=r-4), or other financial [account](/usc/15/1681a.md?p=r-4).

## Source credit

(Pub. L. 111–345, § 4, Dec. 29, 2010, 124 Stat. 3620.)