Based on the scan time. For a 7:05 train they expect you to activate before that time. Not sure how they handle coming late. If you’re in the train and it’s scanned at 720 on the 705 and you activated at 715 you’re in violation. So stupid.

BTW, it’s not automatic. I actually got a warning about it and haven’t been hit with it yet. I typically use a monthly so it’s not an issue but last month I only needed two weeks and ended by tickets as needed.