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RGMacEsq, Attorney
Category: Business Law
Satisfied Customers: 16313
Experience:  Licensed Texas General Practice Attorney
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I have a question about California contract law. Are internet/phone

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I have a question about California contract law.

Are internet/phone business service providers required to put their Automatic Renewal clause in their contracts in 8 point BOLD font?

I have read that this particular font/contract requirement exists in CA but I am unable to locate evidence of it anywhere.
The code that you're searching for is California Civil Code 1945.5, which applies only to residential leases. Automatic renewal clauses in California, other than for residential leases, are still legal, and are interpreted under regular contract law.

I know that this is probably not what you want to hear, but it's the law. I hope that it clears things up anyway. Good luck to you!
Customer: replied 7 years ago.

Thank you for such a quick response....although I'm sorry to hear that answer :)


So if we are 'stuck' in one of these automatically renewed service contracts is there really nothing we can do about it based on CA contract law?

You would have to look at your lease to see what options you have. There is something called a "liquidated damages" clause, which would come in to effect if you cancelled (unless you have a specific cancellation clause). You'd want to see what the best option to take would be.

Another possibility (albeit very remote) is if the renewal provision is hidden in the fine print of the contract AND the drafter of the contract did it to deceive you. You could have the contract recinded for mutual mistake. Frankly, this would be hard to prove, because you would have to show that they intended that you wouldn't see this (rather than just know that you wouldn't because it was such a wordy contract, etc...).

Other than that, this contract would most likely be legal and binding. Your only options would be to continue for another year (or whatever period the renewal was for) or try to get out of it. You can try to negotiate a payment to get out of the contract.

I hope that helps. Good luck to you!
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