Legal Question in Consumer Law in California
Had a yearly subscription with XM Satellite Radio, subscribed over the telephone. No Contract, No Paperwork. No longer desired to use it, so did not renew the subscription. They sent a bill for another year and I called to say I no longer wanted to use their service. The subscription expired on 05/17/2010. They have sent me a bill for service from 05/17/2010 - 05/25/2010. There was no fee to close account, but they have sent this bill. Am I liable to pay additional fees after the expiration date of the subscription service?
2 Answers from Attorneys
Unless there is a contract saying something about automatic renewal or that it is your obligation to cancel and that you will be billed for all dates up to the date of your cancellation, then I would argue a 1 year paid subscription is just that ... 1 year only and done. You asked for 1 year, you paid for 1 year, and they agreed to provide service for 1 year. Done... unless they put some contractual burden on you to affirmatively cancel or return equipment or something like that.
http://www.xm-radio-satellite.com/xmradiocustomerserviceagreement.aspx
"The term of this Customer Agreement is indefinite and Services will continue to renew on the same billing terms until canceled, terminated or discontinued by you or us."
So, the question is can they hold you to that by proving they offered you these terms and conditions and that you accepted them by express agreement or by using the service and paying the fee after receiving some paperwork from them or being told by them what the terms were?