Mandatory Documentation Checklist

• ✅ **UX Flow Snapshot:** The precise, timestamped screen capture of the checkout page the customer saw, showing all disclosures (price, terms, length).
• ✅ **Consent Log:** Backend logs showing the exact moment and mechanism (e.g., boolean value) by which the customer provided affirmative consent.
• ✅ **Sign-up Email:** Copy of the immediate post-transaction email confirming the transaction, auto-renewal terms, and clear cancellation instructions.
• ✅ **Cancellation Path:** Logs showing the customer’s attempts (or lack thereof) to cancel, demonstrating a “simple and easy” method was available.
• ✅ **Renewal Reminder (If Applicable):** Proof of email/notification sent 15-45 days before the renewal date (required for long-term subscriptions in many states).

Testing Your Compliance Flow

The defense rests on whether your current flow would pass a regulator’s review. You must test:

• **Price Conspicuousness:** Is the total charge disclosed in a font size/color that is *larger and more prominent* than surrounding text?
• **No Negative Options:** Does the final “Subscribe” button clearly state the terms? (e.g., “Subscribe and Pay $9.99/mo” rather than just “Start Now”).
• **Cancellation Equivalency:** Is the method to cancel as easy as the method to sign up? (If sign-up is a click, cancellation cannot require a phone call.)

Federal FTC and Chargeback Risk

Federal regulators and payment processors view subscription abuse as a major priority.

• FTC / ROSCA: The FTC enforces the Restore Online Shoppers’ Confidence Act (ROSCA) and targets “dark patterns.” Penalties can reach tens of millions and result in consent decrees, imposing federal oversight on your business.
• Chargeback Threat: High chargeback rates for “unauthorized charges” (typically > 0.9%) lead to processor warnings, fee increases, and potential **account termination** (losing your ability to process payments).