Indiana would limit automatic renewal clauses in commercial property service contracts

An automatic renewal clause could not set a renewal term longer than 12 months and must let the owner give notice to end the contract when its term expires. This applies to contracts for services and related personal property used with Indiana commercial property. It excludes property assessed as agricultural or industrial, property with one to four residential units, and single-family homes conveyed one unit at a time. A clause that does not meet these rules would be void and could not be enforced. The rules would cover contracts first entered into after June 30, 2026. Owners' notice window must begin at least 120 days before the term ends and close no later than 30 days before it ends.

A service provider that fails to follow the renewal rules would commit a deceptive act that the attorney general or property owner could pursue. This applies to service providers that fail to follow the automatic renewal requirements for covered commercial property services contracts. The claim would be handled under Indiana's law on deceptive consumer sales and could lead to that law's remedies and penalties.