Wisconsin law allows consumers to cancel certain transactions. In these transactions merchants are required to provide the consumer with a notice that informs the consumer that the consumer has the right to cancel. In order to cancel consumers must mail their cancellation request within three business days of receiving the cancellation notice from the merchant. Consumers have the three day right to cancel only those transactions that meet all of the following conditions:
- The transaction exceeds $25.00;
- The transaction was entered
into away from the merchant’s
normal place of business (such as at the consumer's home); and
- The transaction was initiated by face-to-face solicitation away from the merchant’s regular place of business, or where the transaction is directed to the particular customer via mail or telephone solicitation.
For example, if a salesperson came to your home and sold you a vacuum cleaner, you would have three business days to cancel. However, if you purchased a vacuum cleaner at an appliance store, the three day right to cancel law would not apply.
The right to cancel law is found in section
423.203 of the Wisconsin Statutes. The cancellation notice that merchants
must give consumers
looks like this:
CUSTOMERS RIGHT TO CANCEL
You may cancel this agreement by mailing a written notice to (insert name and mailing address of seller) before midnight of the third business day after you signed this agreement. If you wish, you may use this page as that notice by writing "I hereby cancel" and adding your name and address. A duplicate of this page is provided by the seller for your records.
Cancellation under this law must be in writing. The customer may send a letter, telegram or other writing indicating the desire to cancel. Usually, the customer can use one of the two copies of the notice of right to cancel by writing on it "I hereby cancel this contract" and mailing it to the seller. The notice must be mailed to the seller by midnight of the third business day following the transaction.
Within ten (10) days the seller must refund all payments made by the customer and cancel any contract signed by the customer. The customer is not liable for any finance or other charges and the transaction is void. Within twenty (20) days the seller must return any property traded-in by the customer. If the seller has delivered any property to the customer, the customer may keep it until the seller has returned all down payments and/or property to the customer. At that time the customer must make the property available to the seller. If the property is not picked-up within 20 days after the customer has made it available, the customer is entitled to keep the property without any obligation to pay for it.