CANCELLATION FEE OPTION PRICING SCHEDULE

The maximum purchase price for the contract cancellation option is based on the cash price of the vehicle.

A dealer may offer the contract cancellation option at no charge to the buyer. If the dealer does charge for the option, the provisions are:

  • $75 for a vehicle with a cash price of $5,000 or less.
  • $150 for a vehicle with a cash price of $5,000 but less than $10,000.
  • $250 for a vehicle with a cash price of $10,000 but less than $30,000.
  • 1% of purchase price for $30,000 but not more than $40,000

A dealer must cancel a conditional sales contract if the buyer decides to obtain and exercise the contract cancellation option. The dealer shall, upon return of the vehicle and following a written return inspection, provide the buyer with a full refund. The dealer shall make the refund within two days of the date of cancellation, including sales tax and any registration fees, but excluding:

  • The cost of the contract cancellation option
  • A restocking fee: The restocking fee is limited to:
  • $175 with a cash price of $500 or less
  • $350 with a cash price of less than $10,000.
  • $500 with a cash price of $10,000 or more.

However, the cost of the contract cancellation option fee must be subtracted from the restocking fee.

A definition of “full refund” for the above purchases includes the return of any trade-in vehicle or, if it has been sold, either the fair market value of the traded in vehicle or its value stated in the contract, whichever is greater.