Utah Code 15-8-6. Disclosures
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(1) For each rental purchase agreement, the lessor shall disclose in the agreement the following items, as applicable:
Terms Used In Utah Code 15-8-6
- Cash price: means the price at which the lessor would have sold the property to the consumer for cash on the date of the rental purchase agreement. See Utah Code 15-8-3
- Consumer: means a natural person who rents personal property under a rental purchase agreement to be used primarily for personal, family, or household purposes. See Utah Code 15-8-3
- Consummation: means the time at which a consumer becomes contractually obligated on a rental purchase agreement. See Utah Code 15-8-3
- Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Lessor: means a person who regularly provides the use of property through rental purchase agreements and to whom rental payments are initially payable on the face of a rental purchase agreement. See Utah Code 15-8-3
- Property: includes both real and personal property. See Utah Code 68-3-12.5
- Rental purchase agreement: means an agreement for the use of personal property by a natural person primarily for personal, family, or household purposes for an initial period of four months or less that is automatically renewable with each payment after the initial period, but which does not obligate or require the consumer to continue renting or using the property beyond the initial period, and that permits the consumer to become the owner of the property. See Utah Code 15-8-3
(1)(a) the total number, total dollar amount, and timing of all payments necessary to acquire ownership of the property;
(1)(b) a statement that the consumer will not own the property until the consumer has made the total payments necessary to acquire ownership;
(1)(c) a statement that the consumer is responsible to the lessor for the fair market value of the property if, and as of the time, it is stolen, damaged, or destroyed;
(1)(d) a brief description of the rented property, sufficient to identify the property to the consumer and the lessor, including an identification number, if applicable, and a statement indicating whether the property is new or used, but a statement that indicates new property is used, is not a violation of this chapter;
(1)(e) a statement of the cash price of the property, which, in the case of a single agreement involving a lease of two or more items as a set, is sufficient if it states the aggregate cash price of all items;
(1)(f) the total amount initially payable or required at or before consummation of the agreement or delivery of the property, whichever is later;
(1)(g) a statement that the total of payments does not include other charges, such as late payment, default, pickup, and reinstatement fees, which fees shall be separately disclosed in the agreement;
(1)(h) a statement clearly summarizing the terms of the consumer’s option to purchase, including a statement that the consumer has the right to exercise an early purchase option and the price, formula, or method for determining the price at which the property may be so purchased;
(1)(i) a statement identifying the party responsible for maintaining or servicing the property while it is being rented, together with a description of that responsibility, and a statement that if any part of a manufacturer’s express warranty covers the property at the time the consumer acquires ownership of the property, it shall be transferred to the consumer, if allowed by the terms of the warranty;
(1)(j) the consummation date of the agreement and the identities of the lessor and consumer;
(1)(k) a statement that the consumer may terminate the agreement without penalty upon expiration of any rental period by voluntarily surrendering or returning the property in good repair, along with any past due rental payments; and
(1)(l) a notice of the right to reinstate an agreement as provided in this chapter.
(2) With respect to matters specifically governed by the federal Consumer Credit Protection Act, compliance with that act satisfies the requirements of this section.