SB 36 — AN ACT TO AMEND TITLE 21 OF THE DELAWARE CODE RELATING TO CAR PURCHASE CONTRACT CANCELLATION OPTION AGREEMENTS.
Last action — Introduced and Assigned to Environment, Energy & Transportation Committee in Senate
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✓Introduced
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2In Committee
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3Passed Senate
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4Passed House
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5To Executive
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6Enacted
This bill is in committee in the Senate. Introduced January 03, 2025. It must pass committee before a floor vote.
Next likely step: a committee vote, then a floor vote in the Senate.
Prognosis
Where this bill stands today.
Odds of enactment
LowHow often bills like it became law.
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In Committee
Current position in the legislative process.
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2 sponsors
2 primary, 0 co-sponsors signed on.
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Single-party support
Sponsorship is currently within one party (2 D).
Prognosis reads this bill's own signals — stage, sponsorship breadth, committee status, recorded votes and cross-state momentum. Odds come from a model trained on which bills have become law.
Summary
This Act requires dealers to offer car buyers the opportunity to purchase a contract cancellation option agreement. The contract cancellation option agreement must allow buyers to cancel a car purchase no less than 3 business days after the dealer delivers the car to the buyer. The cost of the contract cancellation option is based on the cash sale price of the car. A dealer may also charge a restocking fee, based on the cash sale price, if a consumer cancels the car purchase. But the cost of the contract cancellation option must be credited to any restocking fee. If a consumer chooses to buy a car at the end of a lease and then exercises a contract cancellation option, a dealer may charge to that consumer any amount that would have been due under the lease for excess mileage, unrepaired damage, and excess wear and tear. The dealer must keep any trade-in motor vehicles through the end of the cancellation period. If a consumer cancels a car purchase, the consumer must return the car to the dealer along with the signed contract cancellation option. The car must be free of excess mileage, excess wear and tear, and liens, other than liens created by the sales contract or a loan used to finance the purchase of the car. The dealer must give a full refund, less the restocking fee, and must return any trade-in car. If the dealer mistakenly sells the trade-in car before the cancellation period ends and the buyer exercises the right to cancel, the dealer must also refund the fair market value of the car or the value listed in the contract, whichever is higher. A dealer is not required to allow the same consumer to purchase a cancellation option again within 30 days after the consumer exercises a cancellation option. A dealer is not required to give notice of the return of a motor vehicle under this Act to a subsequent buyer. This Act does not cancel or limit any disclosure obligation required by any other law. This Act does not affect or alter the legal rights, duties, obligations, or liabilities of the buyer, the dealer, or the dealer's agents or assigns, that would exist without a contract cancellation option agreement. The buyer is the owner of a motor vehicle when the buyer takes delivery of a motor vehicle until the motor vehicle is returned to the dealer under a contract cancellation option agreement. The existence of a contract cancellation option agreement does not impose permissive user liability on the dealer, or the dealer's agents or assigns. This Act does not affect a buyer’s ability of to cancel the contract or revoke acceptance under any other law.
Bill Text
- Bill Text View text Current pdf
Action History
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Introduced and Assigned to Environment, Energy & Transportation Committee in Senate
Sponsors
- Franklin D. Cooke · Primary
- Darius J. Brown · Primary
Sponsorship breakdown
Export CSV (upgrade) →2 sponsors · 0 co-sponsors · 60 not signed on
Sponsors (2)
- Franklin D. Cooke Democratic
- Darius J. Brown Democratic
Co-sponsors (0)
None.
Not signed on (60)
60 members have not signed on to this bill.
Show all 60 →"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.
Subjects
Frequently asked questions
- What does SB 36 do?
- This Act requires dealers to offer car buyers the opportunity to purchase a contract cancellation option agreement. The contract cancellation option agreement must allow buyers to cancel a car purchase no less than 3 business days after the dealer delivers the car to the buyer. The cost of the contract cancellation option is based on the cash sale price of the car. A dealer may also charge a restocking fee, based on the cash sale price, if a consumer cancels the car purchase. But the cost of the contract cancellation option must be credited to any restocking fee. If a consumer chooses to buy a car at the end of a lease and then exercises a contract cancellation option, a dealer may charge to that consumer any amount that would have been due under the lease for excess mileage, unrepaired damage, and excess wear and tear. The dealer must keep any trade-in motor vehicles through the end of the cancellation period. If a consumer cancels a car purchase, the consumer must return the car to the dealer along with the signed contract cancellation option. The car must be free of excess mileage, excess wear and tear, and liens, other than liens created by the sales contract or a loan used to finance the purchase of the car. The dealer must give a full refund, less the restocking fee, and must return any trade-in car. If the dealer mistakenly sells the trade-in car before the cancellation period ends and the buyer exercises the right to cancel, the dealer must also refund the fair market value of the car or the value listed in the contract, whichever is higher. A dealer is not required to allow the same consumer to purchase a cancellation option again within 30 days after the consumer exercises a cancellation option. A dealer is not required to give notice of the return of a motor vehicle under this Act to a subsequent buyer. This Act does not cancel or limit any disclosure obligation required by any other law. This Act does not affect or alter the legal rights, duties, obligations, or liabilities of the buyer, the dealer, or the dealer's agents or assigns, that would exist without a contract cancellation option agreement. The buyer is the owner of a motor vehicle when the buyer takes delivery of a motor vehicle until the motor vehicle is returned to the dealer under a contract cancellation option agreement. The existence of a contract cancellation option agreement does not impose permissive user liability on the dealer, or the dealer's agents or assigns. This Act does not affect a buyer’s ability of to cancel the contract or revoke acceptance under any other law.
- Who sponsors SB 36?
- SB 36 is sponsored by Franklin D. Cooke (Democratic) and Darius J. Brown (Democratic).
- What is the current status of SB 36?
- This bill is in committee in the Senate. Introduced January 03, 2025. It must pass committee before a floor vote.
- Where can I track SB 36?
- Track SB 36 free on One Click Politics — get push/email alerts when it moves.
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Last checked for changes about 2 months ago · updated continuously
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