[Code of Federal Regulations]
[Title 16, Volume 1]
[Revised as of January 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 16CFR429.2]

[Page 426-427]
 
                     TITLE 16--COMMERCIAL PRACTICES
 
                   CHAPTER I--FEDERAL TRADE COMMISSION
 
PART 429_RULE CONCERNING COOLING-OFF PERIOD FOR SALES MADE AT HOMES 
OR AT CERTAIN OTHER LOCATIONS--Table of Contents
 
Sec. 429.2  Effect on State laws and municipal ordinances.

    (a) The Commission is cognizant of the significant burden imposed 
upon door-to-door sellers by the various and often inconsistent State 
laws that provide the buyer the right to cancel a door-to-door sales 
transaction. However, it does not believe that this constitutes 
sufficient justification for preempting all of the provisions of such 
laws and the ordinances of the political subdivisions of the various 
States. The rulemaking record in this proceeding supports the view that 
the joint and coordinated efforts of both the Commission and State and 
local officials are required to insure that consumers who have purchased 
from a door-to-door seller something they do not want, do not need, or 
cannot afford, be accorded a unilateral right to rescind, without 
penalty, their agreements to purchase those goods or services.
    (b) This part will not be construed to annul, or exempt any seller 
from complying with, the laws of any State or the ordinances of a 
political subdivision thereof that regulate door-to-door sales, except 
to the extent that such laws or ordinances, if they permit door-to-door 
selling, are directly inconsistent with the provisions of this part. 
Such laws or ordinances which do not accord the buyer, with respect to 
the particular transaction, a right to cancel a door-to-door sale that 
is substantially the same or greater than that provided in this part, 
which permit the imposition of any fee or penalty on the

[[Page 427]]

buyer for the exercise of such right, or which do not provide for giving 
the buyer a notice of the right to cancel the transaction in 
substantially the same form and manner provided for in this part, are 
among those which will be considered directly inconsistent.

[60 FR 54187, Oct. 20, 1995]