- The House Ways and Means Committee has approved a bill that would allow customers to rescind or cancel vehicle sales.
- The bill will allow mutual agreements to cancel a sale to be put in writing between the buyer and the dealer.
- The legislation clarifies that if the fees and taxes are returned to their rightful parties, any subsequent requirements for a certificate of title or remitting fees or taxes will be invalidated.
The House Ways and Means Committee unanimously cleared legislation on Monday that would give consumers additional purchasing rights regarding motor vehicle sales, specifically the ability to rescind or cancel a sale.
Under the bill — introduced by Rep. Adam Botana — the purchaser of a vehicle and the auto dealer would be permitted to mutually agree in writing to cancel a sale.
The legislation further specifies that if all fees, taxes, and other spent finances are returned to the rightful parties, a cancellation agreement invalidates any subsequent requirements imposed upon the motor vehicle dealer to submit an application for a certificate of title or remit any fees or taxes.
Moreover, the measure clarifies that if all the fees, taxes, and other finances have been returned to the rightful parties, a cancellation agreement would invalidate any subsequent requirements imposed on the motor vehicle dealer to submit an application for a certificate of title. The bill would allow up to thirty days for a full refund on a sales tax if a buyer decides to cancel a sale.
“What this does is really allows up to thirty days so that you can get a full refund on a sales tax,” said Botana.
Should a buyer decide to cancel a sale, the dealer must return any money that has been paid by the consumer, and the dealer will not be required to submit any paperwork for a certificate of title or remit any fees or taxes.