Treasury-proposed reforms that aim to protect consumers from subscription traps should be re-scoped as they could inadvertently disadvantage consumers, according to the Tech Council of Australia.
In a submission to a Treasury consultation on “unfair trading practices” last month, the industry group argued that businesses shouldn’t be required to ask consumers to ‘opt-in’ before a free trial rolled over into a paid subscription, or that they be notified before monthly subscriptions renew.
The Tech Council argues that an ‘opt-in’ requirement could encourage abuse of trial periods, with businesses potentially responding by “limiting offering free trials” or increasing the price of subscriptions.
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