The Contract Cancellation Option Agreement must be a separate document from the sales contract and must include:

  • The VIN# and description of the vehicle (year make and model)
  • Specification of the time frame for to exercise cancellation option (Minimum of 2 days, no maximum time frame)
  • The restocking fee charged to the buyer if the vehicle is returned. (see schedule of allowable restocking fee and total option fee)
  • A statement specifying the maximum number of miles allowed prior to return of the vehicle and exercise the cancellation option (the amount specified must be no less than 250 miles) (no limit to the maximum amount of miles a dealer may specify)
  • Specification of allowable condition of the vehicle for return. (delivery and return inspections required)
  • A place for the buyer’s signature to elect the option to cancel. (the buyer must elect to purchase the option in writing)
  • Specification of the date and time that the buyer can exercise option. (the business hours of the dealer may extend the option time)

For Delivery Inspection Form go to: https://www.gotplates.com/pdfs/ab68deliveryinspecformApril2006.pdf