§ 555A.4 — Duties of seller

Iowa § 555A.4

• Jurisdiction: Iowa
• Title XIV: PROPERTY
• Ch. 555A: DOOR-TO-DOOR SALES

Text

A seller shall:
1. Furnish two copies of the notice of cancellation to the buyer, and complete both copies
by entering the name of the seller, the address of the seller’s place of business, the date of
the transaction, and the date, not earlier than the third business day following the date of the
transaction, by which the buyer may give notice of cancellation.
2. Not include in any contract or receipt any confession of judgment or any waiver of any
of the rights to which the buyer is entitled under this chapter including specifically the right
to cancel the sale in accordance with the provisions of this chapter.
3. Inform each buyer orally, at the time the buyer signs the contract or purchases the
goods or services, of the buyer’s right to cancel.
4. Not misrepresent in any manner the buyer’s right to cancel.
5. Honor any valid notice of cancellation by a buyer and within ten business days after
the receipt of notice shall refund all payments made under the contract or sale, return any
goods or property traded in, in substantially as good condition as when received by the seller,
and cancel and return any negotiable instrument executed by the buyer in connection with
the contract or sale and take any action necessary or appropriate to terminate promptly any
security interest created in the transaction.
6. Not negotiate, transfer, sell, or assign any note or other evidence of indebtedness to a
finance company or other third party prior to midnight of the seventh business day following
the day the contract was signed or the goods or services were purchased.
7. Withintenbusinessdaysofreceiptofthebuyer’snoticeofcancellationnotifythebuyer
whether the seller intends to repossess or to abandon any shipped or delivered goods.

Legislative History

[C75, 77, §713B.4; C79, 81, §82.4]