Florida Law on Cancelling a Contract on a New Car

by Tom StreissguthUpdated July 12, 2023
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If you're having buyer’s remorse about a new-car purchase, your options are limited. Federal law does not provide for a cooling-off period for car buyers whether the car is used or new, nor does Florida law or any other state law. Returning a new car and canceling a deal would become a negotiation between you and the dealership – and in most cases would require some good salesmanship on your part.

Federal Cooling-Off Rule

Federal law mandates a 72-hour cooling-off period for sales closed in your home or anywhere that is not the usual place of business for the seller. In addition, for the cooling-off period to be in effect, the law requires a minimum purchase of $25 and does not apply at all to new-car purchases unless the seller does not have a permanent place of business. Also specifically exempted from this law are purchases of real estate, securities or insurance policies.

Florida Law

The state of Florida does not grant car buyers a three-day under any specific terms, but a buyer may contest a sale on the grounds that he was misled or defrauded. Generally, car dealers would not be willing to cancel a contract unless the buyer has very specific and serious grounds to do so. However, in the interest of good public relations and retaining a steady customer, a dealer might be willing to void the contract and accept the return of the car in unchanged, new condition.

Florida Statutes

Like other states, Florida protects car buyers with a Lemon Law, which is supposed to prevent the sale of defective or unsafe vehicles. To be covered by the law, a buyer must report the defect within the Lemon Law rights time period of 24 months after delivery. The dealer or manufacturer must also make a reasonable number of attempts to repair the defect. After three attempts, the buyer must issue a written notice via certified mail to the dealer of a final opportunity to repair the vehicle; the manufacturer then has 10 days to send the consumer to an authorized repair facility. If the vehicle is not repaired within 10 days, the manufacturer must buy back the car and provide either a refund or a trade in. The Lemon Law does not extend to defects that result from accidents, neglect or alteration of the car. The Florida New Motor Vehicle Arbitration Board is established to mediate Lemon Law disputes.

Florida Deceptive Practices

Florida has consumer protection statutes, which apply to vehicle purchases and set out several acts as actionable, unfair or deceptive. For example, misrepresentation of a car's repair history, mileage or condition are deceptive acts under the law. Salespeople must disclose any manufacturer or dealer warranties in writing before selling the vehicle – and may not allow a customer to sign an incomplete or inaccurate sales contract. Dealers also may not charge for pre-delivery services if they are reimbursed by the manufacturer, or fail to disclose damage to the vehicle if they know about it. Deceptive practices would provide grounds for contesting a new car contract in court.

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