Sounds like AOL...
You used to get a free AOL 10 day trial cd (number of days varied) on every damn magazine you picked up (not sure if they still do it).
A friend signed up with the intention of not continuing after the trial period, but you have to hand over you credit card details before you get the trial.
On an error on his judgement he didnt realise that you had to cancel the subscription once the trial period expired.
Unfortunatly he ended up paying for the first month anyway, and then canceled the subcription... which he ended up doing for the next 4 months...
Each month they stated that is was canceled, and each month he got a bill from aol.
I'm not sure how it all ended up, if he payed all the months or not, but this scam just reminds me of that time.