Three-Day right to cancel purchases
Many consumers mistakenly believe that they have three days to back out of any purchase they make. However, there are very few instances in which this right applies.
They are:
After certain home solicitation sales under the Arizona
Home Solicitations Act, (A.R.S. ยง 44-5001, et seq). buyers have three-day right
to cancel only if:
- the seller personally solicits the sale; and
- the buyer agrees to purchase the goods or services at a home other than the seller's home; and
- either all or part of the price is payable in installments or, if you pay cash for the goods or services the seller provides a loan for you or helps you get a loan to pay the purchase price.
If all of the above are true, the seller is required to give you a Notice of Cancellation at the time of purchase which tells you that you may cancel your agreement to purchase the goods or services prior to midnight of the third business day after the date of the sales transaction. You must mail or deliver a signed and dated copy of your Notice or any other notice, or send a telegram, by the cancellation date the seller has written on your Notice.
The Federal Trade Commission's Cooling-Off Rule also gives you, the buyer, a three-day right to cancel if:
- the sale is in the buyer's home, workplace or dormitory, or in a facility
rented for a short time by the seller (hotels, motels, convention centers,
fairgrounds, restaurants); and
- the purchase price is $25.00 or more. Exceptions: You do not have a
three-day right to cancel a purchase even though the sale occurs in your
home, workplace, dormitory or rented facility if:
- you already have an account with the seller, and the seller's primary
business is to sell goods or services at a fixed location; or, you and
the seller negotiated the purchase at a fixed location where the seller
offers or exhibits goods or services.
- the goods or services you purchase are not primarily for personal,
family, or household purposes; or the goods or services you purchase
are needed to meet an emergency; or the purchase involves your request
for repairs or maintinance; or the purchase is real estate, insurance,
or securities; or the purchase
is a motor vehicle sold at a temporary location if the seller has a permanent
place of business; or the purchase is arts or crafts sold at fairs, or
other locations.
Other transactions which give you a three-day right
to cancel under Arizona law:
- services to be rendered in the future, such as credit services; and
- discount buying club services.
