There are some contracts in Ohio that allow consumers to revoke within three days of signing. These types of contracts include: Prepaid Entertainment Contracts and Home Solicitation Sales Contracts. (Defined below).
In both cases, the business owner must give the exact statutory written notice of the customer’s ability to cancel the contract. If the business does not comply with the strict written notice requirements, the customer can revoke at any time until proper notice is given. Further, if there is a dispute, the business could be held liable for the entire amount the customer paid, penalties, court costs, and attorneys' fees
Prepaid Entertainment : A contract under which the customer pays for or becomes obligated to pay for a service prior to receipt of those services. Some examples include: dance lessons, social referral services, martial arts training, health spa, or exercise membership. ORC Ann. 1345.41 (2005)
Home Solicitation Sale : A sale of consumer goods or services in which the seller or its agent solicits a consumer at their residence. This includes solicitations in response to an invitation by the consumer. ORC 1345.21(A).
There are some exceptions within these requirements. The rules and exceptions should be thoroughly evaluated before making any legally binding decisions.
Comments are closed.
Elliott Stapleton Attorney with CMRS Law