7 | 6 | | A BILL TO BE ENTITLED |
---|
8 | 7 | | AN ACT |
---|
9 | 8 | | To amend Chapter 1 of Title 10 of the Official Code of Georgia Annotated, relating to selling1 |
---|
10 | 9 | | and other trade practices, so as to enact the "Georgia Door-to-Door Sales Act"; to provide2 |
---|
11 | 10 | | for a short title; to provide for definitions; to require sellers to furnish to buyers receipts and3 |
---|
12 | 11 | | copies of any contracts; to require sellers to provide notice of how to cancel a sale; to restrict4 |
---|
13 | 12 | | certain door-to-door sales; to regulate the use of certain forms and notices; to provide for5 |
---|
14 | 13 | | certain exemptions; to provide for related matters; to repeal conflicting laws; and for other6 |
---|
15 | 14 | | purposes.7 |
---|
16 | 15 | | BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:8 |
---|
17 | 16 | | SECTION 1.9 |
---|
18 | 17 | | Chapter 1 of Title 10 of the Official Code of Georgia Annotated, relating to selling and other10 |
---|
19 | 18 | | trade practices, is amended by adding a new article to read as follows:11 |
---|
20 | 19 | | "ARTICLE 1A12 |
---|
21 | 20 | | 10-1-20.13 |
---|
23 | 22 | | S. B. 149 (SUB) |
---|
24 | 23 | | - 2 - |
---|
25 | 24 | | 10-1-21.15 |
---|
26 | 25 | | As used in this article, unless the context otherwise requires, the term:16 |
---|
27 | 26 | | (1) 'Business days' means any calendar day except Saturdays, Sundays, and any federal17 |
---|
28 | 27 | | holiday.18 |
---|
29 | 28 | | (2)(A) 'Door-to-door sale' means a sale, lease, or rental of goods or services:19 |
---|
30 | 29 | | (i) Solicited in person by the seller or seller's representative, including, but not20 |
---|
31 | 30 | | limited to, solicitations in response to or following an invitation by the buyer;21 |
---|
32 | 31 | | (ii) For which the buyer's agreement or offer to purchase is made at a place other than22 |
---|
33 | 32 | | the seller's place of business; and23 |
---|
34 | 33 | | (iii) That includes the following three components:24 |
---|
35 | 34 | | (I) Payments of $10,000.00 or more;25 |
---|
36 | 35 | | (II) A lease, financing arrangement, or other agreement with a term of more than26 |
---|
37 | 36 | | 120 months; and27 |
---|
38 | 37 | | (III) Is eligible, or is alleged by the seller or seller's representative to be eligible, for28 |
---|
39 | 38 | | federal tax credits.29 |
---|
40 | 39 | | (B) 'Door-to door sale' shall not include a transaction:30 |
---|
41 | 40 | | (i) Conducted without any in-person contact between the buyer and the seller or31 |
---|
42 | 41 | | seller's representative prior to delivery of the goods or performance of the services;32 |
---|
43 | 42 | | (ii) In which the buyer has initiated the contact and specifically requested the seller33 |
---|
44 | 43 | | or seller's representative to visit the buyer's home for the purpose of repairing or34 |
---|
45 | 44 | | performing maintenance upon the buyer's property. If, in the course of such a visit,35 |
---|
46 | 45 | | the seller sells the buyer the right to receive additional goods or services, other than36 |
---|
47 | 46 | | replacement parts necessarily used in performing maintenance or making repairs, the37 |
---|
48 | 47 | | sale of those additional goods or services would not fall under this exclusion; or38 |
---|
49 | 48 | | (iii) Pertaining to the sale or rental of real property or to the sale of insurance.39 |
---|
50 | 49 | | (3) 'Place of business' means the main or permanent branch, office, or local address of40 |
---|
52 | 51 | | S. B. 149 (SUB) |
---|
53 | 52 | | - 3 - |
---|
54 | 53 | | (4) 'Purchase price' means the total price paid or to be paid for the goods or services,42 |
---|
55 | 54 | | including all interest and service charges.43 |
---|
56 | 55 | | 10-1-22.44 |
---|
57 | 56 | | (a) The seller shall furnish the buyer with a fully completed receipt of the purchase price45 |
---|
58 | 57 | | or copy of the contract pertaining to any door-to-door sale at the time of its execution.46 |
---|
59 | 58 | | Such receipt or contract shall:47 |
---|
60 | 59 | | (1) Be in each language used in the oral sale presentation and the in-person interaction48 |
---|
61 | 60 | | between seller and buyer;49 |
---|
62 | 61 | | (2) Show the date of the transaction and contain the name and address of the seller;50 |
---|
63 | 62 | | (3) Be in at least ten-point boldface type; 51 |
---|
64 | 63 | | (4) Have adjacent to the contract's signature lines, or on the front page of the receipt if52 |
---|
65 | 64 | | a contract is not used, the following statement:53 |
---|
66 | 65 | | "You, the buyer, may cancel this transaction at any time prior to midnight of the54 |
---|
67 | 66 | | thirtieth business day after the date of this transaction. See the attached notice of55 |
---|
68 | 67 | | cancellation form for an explanation of this right."; and56 |
---|
69 | 68 | | (5) Provide the buyer with a duplicate notice of cancellation as outlined in Code Section57 |
---|
70 | 69 | | 10-1-23.58 |
---|
71 | 70 | | (b) In the event of cancellation, the buyer must be able to retain a complete copy of the59 |
---|
72 | 71 | | receipt or contract.60 |
---|
73 | 72 | | 10-1-23.61 |
---|
74 | 73 | | (a) The seller in a door-to-door sale shall provide to each buyer, at the time the buyer signs62 |
---|
75 | 74 | | the door-to-door sales contract or otherwise agrees to buy goods or services from the seller,63 |
---|
76 | 75 | | a notice of cancellation form meeting the requirements of subsection (b) of this Code64 |
---|
78 | 77 | | S. B. 149 (SUB) |
---|
79 | 78 | | - 4 - |
---|
80 | 79 | | (b) The form shall be captioned "NOTICE OF CANCELLATION" and shall provide the66 |
---|
81 | 80 | | following information in at least ten-point boldface type:67 |
---|
82 | 81 | | (1) That the buyer has 30 business days to cancel the sale;68 |
---|
83 | 82 | | (2) That upon cancellation all of the buyer's payments will be returned within ten69 |
---|
84 | 83 | | business days;70 |
---|
85 | 84 | | (3) That the buyer may keep or dispose of the goods if the seller fails to pick them up71 |
---|
86 | 85 | | within 20 business days of the date of the notice of cancellation;72 |
---|
87 | 86 | | (4) The seller's name and the address or email address to which notices of cancellation73 |
---|
88 | 87 | | must be sent;74 |
---|
89 | 88 | | (5) That the buyer has until midnight of the thirtieth business day to cancel the75 |
---|
90 | 89 | | transaction; and76 |
---|
91 | 90 | | (6) A signature and date line for the buyer.77 |
---|
92 | 91 | | (c) The seller shall inform the buyer orally, at the time that the buyer signs the contract or78 |
---|
93 | 92 | | purchases the goods or services, of the buyer's right to cancel.79 |
---|
94 | 93 | | (d) The seller shall notify the buyer within ten days of receipt of the buyer's notice of80 |
---|
95 | 94 | | cancellation whether the seller intends to repossess or to abandon any shipped, delivered,81 |
---|
96 | 95 | | or installed goods.82 |
---|
97 | 96 | | 10-1-24.83 |
---|
98 | 97 | | The seller in a door-to-door sale shall not negotiate, transfer, sell, or assign any note or84 |
---|
99 | 98 | | other evidence of indebtedness to a finance company or other third party prior to midnight85 |
---|
100 | 99 | | on the second day following the end of the period during which the buyer has a right to86 |
---|
102 | 101 | | S. B. 149 (SUB) |
---|
103 | 102 | | - 5 - |
---|
104 | 103 | | 10-1-25.88 |
---|
105 | 104 | | The use of the forms and notices of the right to cancel prescribed by the Federal Trade89 |
---|
106 | 105 | | Commission's trade regulation rule, 16 C.F.R. Part 429, establishing a cooling-off period90 |
---|
107 | 106 | | for door-to-door sales, may be used to comply with Code Sections 10-1-22 and 10-1-23;91 |
---|
108 | 107 | | provided, however, that they are altered to accurately reflect the provisions of such Code92 |
---|
109 | 108 | | sections and are in compliance with all provisions of this article.93 |
---|
110 | 109 | | 10-1-26.94 |
---|
111 | 110 | | The rights of buyers in a door-to-door sale shall be not limited to those provided for in this95 |
---|
112 | 111 | | article. Buyers in a door-to-door sale shall also have all applicable rights and remedies96 |
---|
113 | 112 | | afforded under any other state or federal laws.97 |
---|
114 | 113 | | 10-1-27.98 |
---|
115 | 114 | | (a) The requirements of this article shall not apply to sellers of automobiles, vans, trucks,99 |
---|
116 | 115 | | motorized farm equipment, or other motor vehicles that are sold at auctions, tent sales, or100 |
---|
117 | 116 | | other temporary places of business, provided that the seller is a seller of vehicles with a101 |
---|
118 | 117 | | permanent place of business.102 |
---|
119 | 118 | | (b) The requirements of this article shall not apply to sellers of arts, crafts, food,103 |
---|
120 | 119 | | beverages, or other goods or services that are sold at fairs, carnivals, festivals, or other104 |
---|
121 | 120 | | community events.105 |
---|
122 | 121 | | (c) The requirements of this article shall not apply to sellers of goods or services that are106 |
---|
123 | 122 | | sold at events sponsored, licensed, or hosted by this state, any local government, a church,107 |
---|
124 | 123 | | or a public charity."108 |
---|
125 | 124 | | SECTION 2.109 |
---|
126 | 125 | | All laws and parts of laws in conflict with this Act are repealed.110 |
---|