Sec. 601.154. FAILURE TO TAKE CERTAIN ACTIONS FOLLOWING RECEIPT OF NOTICE OF CANCELLATION. A merchant may not:
(1) fail to notify the consumer before the end of the 10th business day after the date the merchant receives the notice of cancellation whether the merchant intends to repossess or abandon any shipped or delivered goods;
(2) fail or refuse to honor a valid cancellation under this chapter by a consumer; or
(3) fail before the end of the 10th business day after the date the merchant receives a valid notice of cancellation to:
(A) refund all payments made under the contract or sale;
(B) return any goods or property traded in to the merchant in substantially the same condition as when received by the merchant;
(C) cancel and return a negotiable instrument executed by the consumer in connection with the contract of sale;
(D) take any action appropriate to terminate promptly any security interest created in the transaction; or
(E) restore improvements on real property to the same condition as when the merchant took title to or possession of the real property unless the consumer requests otherwise.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 2.01, eff. April 1, 2009.
Last modified: September 28, 2016