How To Cancel A Subscription Without Penalties

Did you sign a subscription or service contract (download template contract) with a supplier and now want to cancel it without paying penalties? This is a common situation, especially in areas like telephony, internet, gyms, or other recurring services. Here's what you need to know to avoid extra costs and properly terminate the contract.

Cancelling a subcription

1. Read the subscription/contract carefully

What’s the difference between a subscription and a contract?

A subscription is a contract – usually a service contract – with periodic payment, in which a provider agrees to offer continuous or repetitive services, and the client agrees to pay a fixed amount at regular intervals (monthly, yearly, etc.).

The main difference between the two is that a subscription involves periodic payment for a continuous or repetitive service, while a regular contract can cover a wider range of obligations, including one-time transactions, occasional services, or specific deliveries of goods.

Also, subscriptions often have a fixed term (e.g., 12 or 24 months) and may include automatic renewal clauses, meaning that without a termination notice from the consumer, they automatically extend. On the other hand, regular contracts don’t always require such an extension and can terminate upon the fulfillment of the parties' obligations without needing additional action.

What clauses should you check in the subscription?

The first step is to check the clauses in the contract you signed. Specifically, look for the following:

• Minimum contract period – many contracts have an initial period (e.g., 12 or 24 months) during which cancellation is difficult without penalties;

• Termination conditions – check the steps that need to be followed to terminate the contract and whether prior notice is required;

• Right of withdrawal – under Emergency Ordinance no. 34/2014, if you entered into the contract remotely (by phone or online), you have the right to cancel it within 14 calendar days of signing, without justification and without penalties;

• Early termination penalties or fees – these can vary and should be analyzed before requesting termination.

If you don’t have a copy of the subscription, depending on the service or company, here are some options you can consider:

• Access the online account: Many services allow you to access subscription information directly on their website or through a mobile app, where you can view or download a copy of the subscription.

• Contact customer service: If you can’t find a copy online, you can contact customer service to request a copy of the subscription or to obtain additional details.

• Check your emails: Usually, when purchasing a subscription, you will receive a confirmation email with subscription details. Searching your inbox might help you find that confirmation.

Check if the subscription you intend to cancel contains abusive clauses

If you find an abusive clause in the subscription, you can request its cancellation under Law no. 193/2000 regarding abusive clauses in contracts concluded between traders and consumers.

Abusive clauses are contractual provisions imposed by traders on consumers that create a significant imbalance between the rights and obligations of the parties, to the detriment of the consumer. These clauses are considered illegal and can be declared void by the court.

A clause is considered abusive if:

• It wasn’t directly negotiated with the consumer and is unilaterally imposed by the trader;

• It creates a significant imbalance between the rights and obligations of the parties;

• It violates the principle of good faith;

• It affects the consumer's legal rights, reducing or eliminating them.

Examples of abusive clauses

• Clauses that exclude or limit the trader’s liability, such as:

"The provider is not responsible for service interruptions, regardless of the cause."

• Clauses that impose excessive penalties on the consumer, such as:

"In case of early termination, the consumer must pay the remaining balance of the contract."

• Clauses that allow the trader to unilaterally modify the contract, such as:

"The provider reserves the right to change prices without the consumer's agreement."

• Clauses that prevent the consumer from terminating the contract without penalties, even if the service is not properly provided.

• Clauses that require the consumer to comply with an excessively long termination period, without allowing for a reasonable procedure.

Read about class actions in Romania.

2. Check if the provider has fulfilled its obligations

A contract – including in the form of a subscription – can be terminated without penalties if the provider has not fulfilled its contractual obligations. Some examples include:

• Poor service quality – under the law, the services provided must meet the standards outlined in the contract;

• Delays or lack of service provision – if the service is not active within the agreed timeframe, you have the right to request termination without costs;

• Incorrect billing – if there are unjustified charges or repeated billing errors;

• Unilateral changes to the contract – under the law, if the provider changes the terms of the contract unilaterally (e.g., increases prices), you have the right to terminate the contract without penalties.

To prove non-fulfillment of obligations, keep evidence such as screenshots, emails, notifications, or complaints/notices submitted to the provider.

3. Look for the termination clause without penalties

Some contracts allow for termination without penalties in certain situations. Common examples include:

• Justified reasons – in some contracts, moving to an area not covered by the service or documented financial problems can be reasons for termination without costs;

• Unilateral modification of the contract – under the law, if the provider changes the price or terms without your consent, you have the right to refuse and terminate the contract;

• Force majeure – situations such as serious illness, personal bankruptcy, or other unforeseen circumstances can be accepted as reasons for termination without penalties.

4. Send a written termination request

To terminate the contract, you need to send a written request asking for the termination. This can be sent via:

• Email – if the provider accepts electronic termination;

• Postal mail with acknowledgment of receipt – to have a written proof;

• Direct submission at the provider’s headquarters – with registration number.

The request should include:

• Your identification details (name, ID number, address, phone, email);

• Contract details (number, signing date, provider);

• The reason for termination – mentioning the contractual clause or legal aspects that allow termination without penalties;

• Request for termination without penalties;

• Request for written confirmation of termination and the deadline for it.

You can order a termination request here.

5. Report to authorities if termination is refused

If the provider refuses to close your contract without penalties, you can file a complaint with the relevant institutions:

• National Authority for Consumer Protection (ANPC) – for general service contracts, including gyms, maintenance services, deliveries, etc.;

• National Authority for Management and Regulation in Communications (ANCOM) – for telephony, internet, television contracts;

• Court of law – if penalties are abusive or refusal of termination is unjustified.

ANPC can impose sanctions on providers and can force companies to comply with consumer rights.

Conclusion

Canceling a subscription or service contract without penalties is possible if you know your rights and follow the correct steps. Reading the contract, checking the provider’s obligations, sending a written request, and, if necessary, contacting the authorities can help you terminate without extra costs.

Before signing a new contract, make sure you clearly understand the termination conditions to avoid future issues. If you’ve had experiences with contract termination, share them in the comments!