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By purchasing a subscription plan, customers authorize DocuSign to charge the payment method on file for subscription fees, renewal terms, taxes, add-ons, and overage charges, with the authorization continuing through all renewal terms until the subscription is cancelled or terminated.
This analysis describes what DocuSign's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
This provision establishes a standing payment authorization that covers all charges including renewals, taxes, and overages without requiring re-authorization for each billing event. The authorization persists through renewal terms automatically and extends to agent charges on DocuSign's behalf.
Under this clause, completing a subscription purchase constitutes a standing authorization to charge the payment method for all current and future subscription fees, renewal terms, taxes, and overage charges without additional consent required per charge. The authorization remains in effect until the subscription is cancelled or terminated.
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"BY COMPLETING PURCHASE OF A SUBSCRIPTION PLAN, YOU AUTHORIZE US AND OUR AGENT TO CHARGE YOUR PAYMENT METHOD ("AUTHORIZATION") FOR: (a) THE APPLICABLE SUBSCRIPTION PLAN CHARGES, INCLUDING FOR ANY RENEWAL TERM OF THE SUBSCRIPTION PLAN; (b) ANY AND ALL APPLICABLE TAXES; AND (c) ANY OTHER CHARGES INCURRED IN CONNECTION WITH YOUR USE OF A SITE UNDER A SUBSCRIPTION PLAN, INCLUDING WITHOUT LIMITATION ADD-ONS AND OVERAGE CHARGES INCLUDED IN THE SUBSCRIPTION PLAN. The Authorization continues through the applicable original Subscription Plan Term and any Renewal Term until you cancel the Subscription Plan, or your Subscription Plan is otherwise terminated in accordance with these Terms or you withdraw your Authorization, in which case you remain liable for any amounts payable by you.Excerpt from DocuSign's Terms and Conditions
(1) REGULATORY LANDSCAPE: Standing payment authorization provisions engage the FTC's Negative Option Rule, which requires clear disclosure of recurring charge terms and a simple cancellation mechanism. The Electronic Funds Transfer Act and associated Regulation E may apply where bank account debits are involved. State automatic renewal laws, including California's, require clear disclosure of recurring charge authorizations at point of purchase. (2) GOVERNANCE EXPOSURE: Medium. The authorization explicitly covers overage charges and add-ons without specifying a cap or notification requirement before charging, which may create financial exposure for accounts with variable usage patterns. (3) JURISDICTION FLAGS: California, New York, and other states with automatic renewal statutes impose disclosure and consent requirements for recurring charge authorizations. EU and UK distance selling regulations require clear pre-contractual disclosure of recurring payment terms. (4) CONTRACT AND VENDOR IMPLICATIONS: Procurement teams should confirm that the payment method on file is authorized for recurring charges including overages, and that internal approval workflows account for variable overage charges that may arise outside of the fixed subscription amount. (5) COMPLIANCE CONSIDERATIONS: Finance teams should monitor overage usage and confirm that payment methods are current and authorized for the full scope of charges covered by this authorization. Where procurement policies require per-transaction or per-period authorization, the standing authorization model should be evaluated for policy alignment.
Regulatory citations, enforcement risk, and due diligence action items.
Provision-level monitoring, governance timelines, and regulatory mapping built from archived source documents and historical version tracking.
This provision establishes a standing payment authorization that covers all charges including renewals, taxes, and overages without requiring re-authorization for each billing event. The authorization persists through renewal terms automatically and extends to agent charges on DocuSign's behalf.
Under this clause, completing a subscription purchase constitutes a standing authorization to charge the payment method for all current and future subscription fees, renewal terms, taxes, and overage charges without additional consent required per charge. The authorization remains in effect until the subscription is cancelled or terminated.
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