Opinion: Security companies' automatic renewals are a disgrace

12.06.2009

So, when you buy or renew McAfee software online, you are unwittingly agreeing to subscribe to McAfee forever. This fact is buried in the terms of service. You have to specifically opt out of this, and you are most likely going to know about it only fact after you have been charged, as was my case. McAfee specifically says that you agree to automatic descriptions not by actually agreeing to them, but by "charging a valid credit card number which you have provided to McAfee."

When you buy or renew online, there is no check box for selecting renewal as an option. There is no confirmation that you have basically agreed to buy this software for life, even if you get rid of the computer. To cancel, you have to go back at a later time. And let me be very clear: In the current scheme, you very well could pay for software that you don't need, and you might not know it. After all if you have multiple computers, you might not know exactly which license you are being billed for.

I have since attempted to find other industries that hide opt-out conditions where money would be automatically charged for services, and I couldn't find any. There are many cases where you provide a credit card for a free trial or knowingly sign up for unlimited renewal, and then you will be automatically charged until you cancel the renewal. In those cases, most people want the free stuff and forget to opt out. In this case, you receive nothing for free. You would assume that at least you would get a discount rate for the automatic renewal, but McAfee's terms of service specifically exclude any discounts.

While I am glad the New York attorney general stepped in, more needs to be done. After all, $375,000 amounts to about 4,750 unethically generated automatic renewals. That is a proverbial drop in the bucket, since McAfee and Symantec likely generate hundreds of thousands of unfair sales. And under the current agreement with New York, McAfee and Symantec can continue this practice as long as they give people an opportunity to cancel the agreement within 60 days of being billed. The fine amounts to more of a nuisance than a deterrent, as people still have to go out of their way to get their money back and are less likely to do so.

The reason I call attention to this is that if McAfee and Symantec get away with these conditions, which seem morally reprehensible, even if legal, more companies will adopt them.