Section § 312 of the German Civil Code (BGB – Bürgerliches Gesetzbuch) defines the rules regarding the "termination of consumer contracts in electronic commerce." A subscription contract is formed when an order (for goods, services, etc.) and its confirmation are exchanged. Consumers have a 14-day right of withdrawal. Subscriptions can be either fixed-term or open-ended. Minimum contract periods of up to 24 months are also permitted – this is common in mobile phone contracts, for example.
For subscriptions entered into after March 1, 2022, consumers have the right to cancel with one month's notice, once any minimum term has ended. There are many details to consider in the subscription jungle!
If a subscription can be initiated via your website, you are required to provide a cancellation button or link on the site. This doesn't mean it has to be a huge, flashing call-to-action button—don't worry. You can implement this more elegantly. Think of it as a customer service gesture. Make it easy for your users to cancel if they wish—so that even if they leave, they do so with a positive impression of your brand.
Trying to block cancellation with obstacles or hidden buttons won't keep customers from leaving. In fact, it might do more harm than good, provoking frustration, leading to bad reviews, and damaging your reputation. Instead, aim to leave a positive final impression—make your platform memorable, even for departing subscribers.
There is no official wording requirement for the cancellation button yet, but the label must clearly reflect its purpose, with text like "Cancel subscription now" or "Manage contract." Of course, applicable notice periods must still be observed.
If this cancellation option is missing, consumers are legally allowed to cancel without notice. Even worse, competitors may issue formal warnings against your business for violating consumer rights.
Clicking the button must lead to a confirmation page, consisting of a form where the customer can enter their data. Importantly, no login must be required. That means, for example, a subscription number should be linked to the customer and entered manually on this form.
We’d be happy to show you in detail what information is required for this process.
According to Section § 312 (2) Sentence 2 BGB: "The button and confirmation page must be permanently available, immediately accessible, and easy to find." Also, the cancellation confirmation must be sent electronically to the consumer without delay.
At DRIVE, we have extensive experience in the concept, design, and development of websites and online shops. We’d be happy to help you implement a user-friendly, legally compliant cancellation button solution tailored to your business.
