KLS Keeping Law Simple Legislation in plain English

Straight-ahead summaries built from the official bill text. We keep the source links front and center and leave the decision up to you.

Back to Delaware

SB36 • 2025

AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO CAR PURCHASE CONTRACT CANCELLATION OPTION AGREEMENTS.

AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO CAR PURCHASE CONTRACT CANCELLATION OPTION AGREEMENTS.

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Last action
2025-01-03
Official status
Introduced and Assigned to Environment, Energy & Transportation Committee in Senate
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO CAR PURCHASE CONTRACT CANCELLATION OPTION AGREEMENTS.

AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO CAR PURCHASE CONTRACT CANCELLATION OPTION AGREEMENTS.

What This Bill Does

  • AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO CAR PURCHASE CONTRACT CANCELLATION OPTION AGREEMENTS.
  • This Act requires dealers to offer car buyers the opportunity to purchase a contract cancellation option agreement.
  • The contract cancellation option agreement must allow buyers to cancel a car purchase no less than 3 business days after the dealer delivers the car to the buyer.
  • The cost of the contract cancellation option is based on the cash sale price of the car.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2025-01-03 Delaware General Assembly

    Introduced and Assigned to Environment, Energy & Transportation Committee in Senate

Official Summary Text

AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO CAR PURCHASE CONTRACT CANCELLATION OPTION AGREEMENTS.
This Act requires dealers to offer car buyers the opportunity to purchase a contract cancellation option agreement. The contract cancellation option agreement must allow buyers to cancel a car purchase no less than 3 business days after the dealer delivers the car to the buyer. The cost of the contract cancellation option is based on the cash sale price of the car. A dealer may also charge a restocking fee, based on the cash sale price, if a consumer cancels the car purchase. But the cost of the contract cancellation option must be credited to any restocking fee. If a consumer chooses to buy a car at the end of a lease and then exercises a contract cancellation option, a dealer may charge to that consumer any amount that would have been due under the lease for excess mileage, unrepaired damage, and excess wear and tear. The dealer must keep any trade-in motor vehicles through the end of the cancellation period.

If a consumer cancels a car purchase, the consumer must return the car t