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What is a Door-to-Door Sale?
Products frequently misrepresented by door-to-door salespeople include home improvements such as siding and storm windows, funeral
service contracts, books, and magazines. There are some specific legal definitions of door-to-door sales that determine what is covered by the law and what is not. A door-to-door sale (the law calls it a
"home solicitation transaction") takes place whenever a consumer purchases goods or services, at a place other than the merchant's place of business, for more than $25 payable in cash or
installments. However, there are some exceptions and restrictions to this law that you should be aware of:
Sales of insurance and farm equipment are not regulated by this law.
Real estate purchases under $100 made at a place other than the merchant's place of business are not covered by this law.
A sale where an attorney or broker assists in the transaction is not covered by this law.
The solicitation must be made in person, not over the phone, in order for the law on door-to-door sales to apply.
This law does not protect you if you negotiated the sale at the merchant's business establishment and the sale is the result of
those negotiations.
Watch Out for Tricks
Be suspicious of anyone who tries to sell by playing on your emotions. For example, some sellers will suggest you are shirking your responsibilities to your family if you don't buy their product.
Be suspicious of salespeople who tell you they are selling their service or product at the lowest price or tell you that their competitors do poor quality work.
Be suspicious of salespeople who say they have done other work in your city or neighborhood, but refuse to give you the names of some past customers.
Ask yourself how you will get your money back if the salesperson doesn't deliver or if the product is defective. If you buy from a
reputable local business, you can always take the product back. If you buy from a fly-by-night seller, chances are you'll never see him or her again.
What the Law Says
Under the Texas Home Solicitation Transactions Act [Art. 5069-13.01 VTCS], the door-to-door seller must do the following:
Provide you with a copy of the contract or receipt at the time of the sale in the appropriate language. For example, if you and the salesperson spoke in Spanish during the sale, the contract also must be in Spanish.
Give you a contract or receipt stating the date of the sale, the name and address of the merchant, and a statement to you of your
right to cancel the contract. Under Texas law, you have three days to cancel your sale. After proper cancellation, the seller has ten days to refund your money and return any trade-in item.
Provide you with a notice of cancellation with the address where you may send a written cancellation notice.
Restore your property to its original condition if the seller made any "improvements" to it, and you want it restored.
Cancelling a Door-to-Door Sale
If the salesperson provided you with the right forms, to cancel the sale you may simply sign the one titled "notice of
cancellation," date it, and mail it back to the seller. To obtain a full refund, you must do this before midnight of the third business day after the sale. Keep a copy of the form.
If the salesperson did not provide a cancellation form, you may still cancel your contract. Because the seller violated the law by not
providing the form, you have extra time. But remember, you must cancel in writing. Be sure to keep a copy of the contract and your letter notifying the seller of the cancellation. Of course, the sooner
you do this, the better.
If You Cancel the Contract
After you cancel, the seller has ten business days to refund your money and return any note you may have signed concerning the sale.
The seller of the goods must notify you within ten days whether he or she intends to retrieve the goods or abandon them. He or she may
not require you to mail or ship the goods back.
If the seller fails to notify you of his or her intention to repossess the goods within twenty days after cancellation, you may not be
forced to return the goods at a later date. You are not obligated to return goods to the seller until you have recovered either your money or your note.
Don't Be a Victim
Don't be pushed into signing a contract or giving your money to a salesperson unless you're sure you want the product. Take time
to think about it. You should always do some comparison shopping. Remember, any time you get a "once in a lifetime" offer, you should be suspicious.
You must receive a "Notice of Cancellation" under Texas law. You always have three days to cancel the contract, regardless of
whether you have received any goods or services.
Keep your receipt or contract and a copy of your cancellation notice. You may need them if you seek legal help. You should mail your
notice by certified mail to prove you complied with the law.
Contact the Better Business Bureau before buying anything door-to-door. Ask if they have had any complaints about the company.
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