(a)  In addition to any other right under law to rescind a contract, an owner has the right to cancel such a contract until midnight of the third (3rd) business day after the day on which the owner signs a contract that complies with § 5-79-3.

contract signature

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Terms Used In Rhode Island General Laws 5-79-2

  • Contract: A legal written agreement that becomes binding when signed.
  • Contract: means any agreement, or any term in any agreement, between a foreclosure consultant and an owner for the rendition of any services as defined in subsection (8). See Rhode Island General Laws 5-79-1
  • Foreclosure: A legal process in which property that is collateral or security for a loan may be sold to help repay the loan when the loan is in default. Source: OCC
  • Owner: means the record owner of the residential real property in foreclosure at the time the notice of pendency was recorded, or the summons and complaint served. See Rhode Island General Laws 5-79-1

(b)  Cancellation occurs when the owner gives written notice of cancellation to the foreclosure consultant at the address specified in the contract.

(c)  Notice of cancellation, if given by mail, is effective when deposited in the mail properly addressed with postage prepaid.

(d)  Notice of cancellation given by the owner need not take the particular form as provided with the contract and, however expressed, is effective if it indicates the intention of the owner not to be bound by the contract.

History of Section.
P.L. 2006, ch. 242, § 1; P.L. 2006, ch. 287, § 1.