<a id="pl.1.3"></a><var>1.3</var>exclusion;amending Minnesota Statutes 2016, section 325F.245, subdivision 6; <br/>
<a id="pl.1.4"></a><var>1.4</var>proposing coding for new law in Minnesota Statutes, chapter 325G.<br/>
<a id="pl.1.5"></a><var>1.5</var>BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:<br/>
<br/>
<a id="bill.0.1.0"></a><a id="pl.1.6"></a><var>1.6</var>    Section 1. Minnesota Statutes 2016, section 325F.245, subdivision 6, is amended to read:<br/>
<a id="pl.1.7"></a><var>1.7</var>    Subd. 6. <b>Exclusions.</b> This section does not apply to:<br/>
<a id="pl.1.8"></a><var>1.8</var>(1) pesticide, fertilizer, or chemical applications for the purpose of producing agricultural
         <br/>
<a id="pl.1.9"></a><var>1.9</var>commodities or any commodity for sale;<br/>
<a id="pl.1.10"></a><var>1.10</var>(2) pesticide applications around or near the foundation of a building for the purpose
         of <br/>
<a id="pl.1.11"></a><var>1.11</var>structural or indoor pest control; or<br/>
<a id="pl.1.12"></a><var>1.12</var>(3) any single or isolated landscape application where the property owner or its agent
         <br/>
<a id="pl.1.13"></a><var>1.13</var>verbally consents to the single or isolated application.; or<br/>
<a id="pl.1.14"></a><var>1.14</var>(4) pesticide or fertilizer applications by a licensed, commercial application company
         <br/>
<a id="pl.1.15"></a><var>1.15</var>that provides customers with the ability to cancel or discontinue the agreement at
         any time, <br/>
<a id="pl.1.16"></a><var>1.16</var>for any reason, with full refund of any prepaid services that were not provided and
         without <br/>
<a id="pl.1.17"></a><var>1.17</var>any cancellation or discontinuance penalty. Prior to the first application of the
         season, the <br/>
<a id="pl.1.18"></a><var>1.18</var>commercial application company must provide annual written notice to the customer
         of the <br/>
<a id="pl.1.19"></a><var>1.19</var>customer's ability to cancel or discontinue the agreement at any time. The customer
         must <br/>
<a id="pl.1.20"></a><var>1.20</var>be allowed to cancel or discontinue the agreement at any time by communication to
         the <br/>
<a id="pl.1.21"></a><var>1.21</var>company in writing, electronically, verbally by telephone, or in person to company
         <br/>
<a id="pl.1.22"></a><var>1.22</var>representatives or on-site service personnel.<br/>
<br/>
<a id="bill.0.2.0"></a><a id="pl.2.1"></a><var>2.1</var>    Sec. 2. <b>[325G.56] AUTOMATIC RENEWAL OF CONSUMER CONTRACTS.</b><br/>
<a id="pl.2.2"></a><var>2.2</var>    Subdivision 1. <b>Definitions.</b> For purposes of this section:<br/>
<a id="pl.2.3"></a><var>2.3</var>(1) "automatic renewal clause" means a provision of a contract that extends the term
         of <br/>
<a id="pl.2.4"></a><var>2.4</var>or renews a contract if the consumer does not take a specified action, provided the
         original <br/>
<a id="pl.2.5"></a><var>2.5</var>contract term is for one year or more and the contract automatically renews for more
         than <br/>
<a id="pl.2.6"></a><var>2.6</var>one month;<br/>
<a id="pl.2.7"></a><var>2.7</var>(2) "consumer" means a person who acquires goods or services for personal, family,
         or <br/>
<a id="pl.2.8"></a><var>2.8</var>household purposes; and<br/>
<a id="pl.2.9"></a><var>2.9</var>(3) "seller" means a person who provides a service or sells or leases goods to the
         <br/>
<a id="pl.2.10"></a><var>2.10</var>consumer.<br/>
<a id="pl.2.11"></a><var>2.11</var>    Subd. 2. <b>Requirements for automatic renewal.</b> If a contract between a seller and a <br/>
<a id="pl.2.12"></a><var>2.12</var>consumer contains an automatic renewal clause, the seller shall:<br/>
<a id="pl.2.13"></a><var>2.13</var>(1) clearly and conspicuously disclose to the consumer the automatic renewal clause
         <br/>
<a id="pl.2.14"></a><var>2.14</var>and the procedure for canceling the contract at the time that the seller enters into
         the contract <br/>
<a id="pl.2.15"></a><var>2.15</var>with the consumer; and<br/>
<a id="pl.2.16"></a><var>2.16</var>(2) give the consumer written notice of the automatic renewal clause and the procedure
         <br/>
<a id="pl.2.17"></a><var>2.17</var>for canceling the contract no less than 30 days and no more than 60 days before the
         last <br/>
<a id="pl.2.18"></a><var>2.18</var>date on which the consumer may cancel the contract before it renews for another term.<br/>
<a id="pl.2.19"></a><var>2.19</var>    Subd. 3. <b>Notice of automatic renewal.</b> (a) Written notice provided under this section <br/>
<a id="pl.2.20"></a><var>2.20</var>must clearly and conspicuously disclose:<br/>
<a id="pl.2.21"></a><var>2.21</var>(1) that the contract will automatically renew if the consumer does not cancel the
         contract;<br/>
<a id="pl.2.22"></a><var>2.22</var>(2) the cancellation procedure, which shall allow for cancellation by regular mail
         or <br/>
<a id="pl.2.23"></a><var>2.23</var>e-mail; and<br/>
<a id="pl.2.24"></a><var>2.24</var>(3) the dates during which the consumer may cancel the contract.<br/>
<a id="pl.2.25"></a><var>2.25</var>(b) Written notice under this section must be made in a stand-alone mailing using
         <br/>
<a id="pl.2.26"></a><var>2.26</var>boldfaced type.<br/>
<a id="pl.2.27"></a><var>2.27</var>    Subd. 4. <b>Consumer's right to cancel.</b> (a) A consumer may cancel the automatic renewal <br/>
<a id="pl.2.28"></a><var>2.28</var>of a contract at any time before the date on which the contract renews for another
         term, at <br/>
<a id="pl.2.29"></a><var>2.29</var>no cost to the consumer, by following the procedure set out in the disclosure and
         notice <br/>
<a id="pl.2.30"></a><var>2.30</var>provided under this section or by standard mail or e-mail.<br/>
<a id="pl.3.1"></a><var>3.1</var>(b) If the seller fails to provide either the disclosure or the written notice required
         by <br/>
<a id="pl.3.2"></a><var>3.2</var>subdivision 2, the consumer may cancel the contract by any reasonable means at any
         time, <br/>
<a id="pl.3.3"></a><var>3.3</var>including by standard mail, e-mail, or telephone, at no cost to the consumer.<br/>
<a id="pl.3.4"></a><var>3.4</var>    Subd. 5. <b>Right of first refusal.</b> A contract subject to this section must not require that <br/>
<a id="pl.3.5"></a><var>3.5</var>the consumer has to permit the seller to match any offer the consumer has received.
         A <br/>
<a id="pl.3.6"></a><var>3.6</var>provision in a contract that violates this subdivision is void and unenforceable.<br/>
<a id="pl.3.7"></a><var>3.7</var>    Subd. 6. <b>Exemption.</b> (a) This section does not apply to a class of contracts governed by <br/>
<a id="pl.3.8"></a><var>3.8</var>other specific provisions related to automatic or guaranteed renewal in state or federal
         statute <br/>
<a id="pl.3.9"></a><var>3.9</var>or regulation.<br/>
<a id="pl.3.10"></a><var>3.10</var>(b) This section does not apply to contracts when the consumer may cancel at any time
         <br/>
<a id="pl.3.11"></a><var>3.11</var>and receive a refund for goods or services not yet provided, if notice of this cancellation
         <br/>
<a id="pl.3.12"></a><var>3.12</var>right is given in the manner provided in subdivision 3, and the consumer may cancel
         by any <br/>
<a id="pl.3.13"></a><var>3.13</var>reasonable means, including by standard mail, e-mail, or telephone.<br/>
<a id="pl.3.14"></a><var>3.14</var>    Subd. 7. <b>Enforcement.</b> This section may be enforced by the attorney general under <br/>
<a id="pl.3.15"></a><var>3.15</var>section 8.31.<br/>
<a id="pl.3.16"></a><var>3.16</var><b>EFFECTIVE DATE.</b>This section is effective January 1, 2018, for contracts entered <br/>
<a id="pl.3.17"></a><var>3.17</var>into, modified, or renewed on or after that date.<br/>
<br/>
<a id="bill.0.3.0"></a><a id="pl.3.18"></a><var>3.18</var>    Sec. 3. <b>EFFECTIVE DATE.</b><br/>
<a id="pl.3.19"></a><var>3.19</var>Section 1 is effective the day following final enactment and applies to agreements
         entered <br/>
<a id="pl.3.20"></a><var>3.20</var>into on or after that date.<br/>