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SaaS sector and B2C subscriptions

Withdrawal button for SaaS sold to consumers

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Do you sell online software to consumers? You are concerned. Subscription software sold to a consumer is still a B2C distance sale, subject to the European withdrawal button obligation (Directive (EU) 2023/2673, in force since 19 June 2026 across the 27 EU member states). Here are the rules specific to SaaS: express consent, renewal, free trial, digital content. The right move: get compliant fast, without risking a 12-month refund.

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The 14-day rule applied to SaaS

For a SaaS sold to a consumer, the 14-day period begins on the date the contract is concluded, not on the physical delivery of goods. In concrete terms, this is the date on which payment is validated and access to the service opened.

During these 14 days, the consumer can withdraw without justification and obtain a full refund. This rule applies to monthly instalments as well as to annual plans paid in advance. For an annual plan at 240 € excl. VAT billed at the start of the period, a withdrawal on the 10th day gives the right to a refund of 240 €, use during the 10 days not being owed.

The payment being debited triggers the period even if the service has not yet been technically activated. A customer who subscribes on the 1st and only logs in on the 10th still has from the 1st to the 15th to withdraw.

The digital-content exception (Consumer Rights Directive 2011/83/EU, art. 16)

In plain terms: if your SaaS starts as soon as the customer signs up, you can extinguish the withdrawal right, but only under strict conditions. The digital-content exception in the Consumer Rights Directive (2011/83/EU, art. 16) covers digital content supplied on a non-material medium whose performance has begun after the consumer's express consent, the consumer having acknowledged losing their right. This exception covers SaaS products that start immediately on activation.

To rely on this exception, two cumulative conditions must be met:

Condition 1

Express consent at start-up

The consumer explicitly consents to the launch of the service before the end of the period. A dedicated checkbox *"I request immediate access to my subscription"*.

Condition 2

Express waiver of the right

The consumer explicitly acknowledges that they lose their withdrawal right by requesting immediate access. A second dedicated checkbox.

A single checkbox bundling the two (terms and conditions + immediate access + acknowledgement of the loss of the withdrawal right) is systematically struck down by the courts. The conditions must be separate and logged independently.

Common practical cases in SaaS

14-day free trial then switch to paid

The 14-day period opens on the date of the switch to paid, not at sign-up. The customer then has 14 days to withdraw from the paid subscription. Common practice: send an email at the moment of the switch, reminding them of the right and where the button is.

Annual plan taken out mid-year

The period opens on the conclusion of the annual contract. If the customer moves from a monthly plan to an annual plan, it is the date of the change that counts. The withdrawal covers the entire annual plan, not just the difference from the former monthly plan.

Automatic annual renewal

Renewal on identical terms does not trigger a new withdrawal period. A separate cancellation flow takes over to end the subscription. This mechanism is handled by your billing provider (Stripe Billing, Chargebee, etc.), not by BackToMe: the customer must be able to cancel easily, separately from the withdrawal button.

Plan migration or price change

A plan change requested by the customer (an upgrade to a higher tier) opens a new 14-day period for the newly subscribed portion. A price increase imposed by the provider does not create a new period, but triggers the duty to inform so that the customer can refuse or cancel.

The classic SaaS trap

Many SaaS providers assume that signing up for an account online with immediate access automatically extinguishes the withdrawal right. That reasoning is wrong. The digital-content exception (Consumer Rights Directive 2011/83/EU, art. 16) only applies with express consent and express acknowledgement of the loss of the right, logged separately.

Without this dual formality, the 14-day period applies. The customer can therefore use your SaaS for 14 days and obtain a full refund, without justification. Use during the period is not owed to you.

The combined risk: since 19 June 2026, without a withdrawal button, in Ireland you face both the administrative fine (CCPC) of up to 60 000 € (and up to 4% of turnover, or 2 000 000 €, for widespread infringements) and the extension of the period to 12 months and 14 days. For a SaaS with an already high churn, the economic risk quickly runs into thousands of euros refunded per month.

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