HB 989 — An Act amending the act of December 17, 1968 (P.L.1224, No.387), known as the Unfair Trade Practices and Consumer Protection Law, further providing for contracts and effect of rescission.

PRINTER'S NO.    1080

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         HOUSE BILL
                         No. 989
                                               Session of
                                                 2025

     INTRODUCED BY HOWARD, MAYES, WAXMAN, MADDEN, GIRAL, HADDOCK,
        PIELLI, HILL-EVANS, NEILSON, SANCHEZ AND KENYATTA,
        MARCH 24, 2025

     REFERRED TO COMMITTEE ON CONSUMER PROTECTION, TECHNOLOGY AND
        UTILITIES, MARCH 24, 2025


                                    AN ACT
 1   Amending the act of December 17, 1968 (P.L.1224, No.387),
 2      entitled "An act prohibiting unfair methods of competition
 3      and unfair or deceptive acts or practices in the conduct of
 4      any trade or commerce, giving the Attorney General and
 5      District Attorneys certain powers and duties and providing
 6      penalties," further providing for contracts and effect of
 7      rescission.
 8      The General Assembly of the Commonwealth of Pennsylvania
 9   hereby enacts as follows:
10      Section 1.    Section 7(a) and (b) of the act of December 17,
11   1968 (P.L.1224, No.387), known as the Unfair Trade Practices and
12   Consumer Protection Law, are amended to read:
13      Section 7.    Contracts; Effect of Rescission.--(a)   Where
14   goods or services having a sale price of twenty-five dollars
15   ($25) or more are sold or contracted to be sold to a buyer, as a
16   result of, or in connection with, a contact with or call on the
17   buyer or resident at his residence either in person or by
18   telephone, or initiated by a buyer via an Internet website or
19   software application, that consumer may avoid the contract or
 1   sale by notifying, in writing, the seller within three full
 2   business days following the day on which the contract or sale
 3   was made and by returning or holding available for return to the
 4   seller, in its original condition, any merchandise received
 5   under the contract or sale. Such notice of rescission shall be
 6   effective upon depositing the same in the United States mail or
 7   upon other service which gives the seller notice of rescission.
 8      (b)   At the time of the sale or contract the buyer shall be
 9   provided with:
10      (1)   A fully completed receipt or copy of any contract
11   pertaining to such sale, which is in the same language (Spanish,
12   English, etc.) as that principally used in the oral or online
13   sales presentation, and also in English, and which shows the
14   date of the transaction and contains the name and address, both
15   physical and email, of the seller, and in immediate proximity to
16   the space reserved in the contract for the signature of the
17   buyer or on the front page of the receipt if a contract is not
18   used and in bold face type of a minimum size of ten points, a
19   statement in substantially the following form:
20      "You, the buyer, may cancel this transaction at any time
21      prior to midnight of the third business day after the date of
22      this transaction. See the attached notice of cancellation
23      form for an explanation of this right."
24      (2)   A completed form in duplicate, captioned "Notice of
25   Cancellation," which shall be attached to the contract or
26   receipt and easily detachable, and which shall contain in ten-
27   point bold face type the following information and statements in
28   the same language (Spanish, English, etc.) as that used in the
29   contract:
30                         Notice of Cancellation

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 1                                         (Enter Date of Transaction)
 2        You may cancel this transaction, without any penalty or
 3    obligation, within three business days from the above date.
 4        If you cancel, any property traded in, any payments made
 5    by you under the contract or sale, and any negotiable
 6    instrument executed by you will be returned within ten
 7    business days following receipt by the seller of your
 8    cancellation notice, and any security interest arising out of
 9    the transaction will be cancelled.
10        If you cancel, you must make available to the seller at
11    your residence in substantially as good condition as when
12    received, any goods delivered to you under this contract or
13    sale; or you may, if you wish, comply with the instructions
14    of the seller regarding the return shipment of the goods at
15    the seller's expense and risk.
16        If you do make the goods available to the seller and the
17    seller does not pick them up within twenty days of the date
18    of your notice of cancellation, you may retain or dispose of
19    the goods without any further obligation.
20        If you fail to make the goods available to the seller, or
21    if you agree to return the goods to the seller and fail to do
22    so, then you remain liable for performance of all obligations
23    under the contract.
24        To cancel this transaction, mail or deliver a signed and
25    dated copy of this cancellation notice or any other written
26    notice, or send a telegram or email, to (name of seller), at
27    (address of seller's place of business, both physical and
28    email) not later than midnight of (date).
29        I hereby cancel this transaction.
30    ..........................

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1                   (Date)
2                                         .........................................
3                                              (Buyer's Signature)
4     * * *
5     Section 2.    This act shall take effect in 60 days.




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