§ 5-3-404 — Restoration of down payment

Colorado § 5-3-404

• Jurisdiction: Colorado
• Title 05: Consumer
• Art.: Regulation of Agreements and Practices

Text

(1) Within ten days after a notice of
cancellation has been received by the seller or an offer to purchase has been
otherwise revoked, the seller shall tender to the buyer any payments made by the
buyer, any note or other evidence of indebtedness, and any goods traded in. A
provision permitting the seller to keep all or any part of any goods traded in,
payment, note, or other evidence of indebtedness is in violation of this section and
unenforceable.

(2) If the down payment includes goods traded in, the goods shall be
tendered in substantially as good condition as when received by the seller. If the
seller fails to tender the goods as provided by this section, the buyer may elect to
recover an amount equal to the trade-in allowance stated in the agreement.

(3) Until the seller has complied with the obligations imposed by this section,
the buyer may retain possession of goods delivered to the buyer by the seller and
has a lien on the goods in the buyer's possession or control for any recovery to
which the buyer is entitled.

Legislative History

Source: L. 2000: Entire article R&RE, p. 1223, � 1, effective July 1.