Ohio Code 3905.422 – Homes service contract are consumer transactions
(A) As used in this section:
Terms Used In Ohio Code 3905.422
- Contract: A legal written agreement that becomes binding when signed.
- Insurance: means any of the lines of authority set forth in Chapter 1739. See Ohio Code 3905.01
- Person: means an individual or a business entity. See Ohio Code 3905.01
- Property: means real and personal property. See Ohio Code 1.59
- state: means the state of Ohio. See Ohio Code 1.59
(1) “Home service contract” means a contract, however described or denominated by the issuer of the contract, whereby, for a predetermined fee, a person undertakes to repair or replace all or any part of any structural component, appliance, or system of a home necessitated by wear and tear, deterioration, or inherent defect that occurs on or after the effective date of the home service contract.
(2) “Appliance” includes a stove, refrigerator, dishwasher, and any similar piece of equipment.
(3) “Structural component” includes the roof, foundation, basement, walls, ceiling, and similar components of a home.
(4) “System” includes the heating, cooling, plumbing, electrical system, and similar systems of a home.
(B) A home service contract is not insurance and its sale or issuance is not governed by the laws of this state relating to insurance, except a home service contract issued by a licensed property and casualty insurance company as an insurance policy shall be governed by the laws of this state relating to insurance.
(C) The sale or other issuance of a home service contract constitutes a consumer transaction for purposes of Chapter 1345 of the Revised Code. A person who purchases or is entitled to the benefits of a home service contract is a consumer as defined in division (D) of section 1345.01 of the Revised Code.