Registered: 1217208481 Posts: 1
Reply with quote #1
I am a landlord with a new tenant. On the third day after signing the lease and making the down payment, I was told that they had changed their mind and would like a full refund immediately. Upon further questioning they informed me of a three day cooling off period involving leases. I was unaware of this and am unable to find any information to support their claim. Is there a three day cooling off period for the leasing of a house?
Registered: 1224870602 Posts: 3
Reply with quote #2
This is your answer: 1688. A contract is extinguished by its rescission. California Civil Code Sections 1688-1693 So, Did you consent? 1689. (a) A contract may be rescinded if all the parties thereto consent. (b) A party to a contract may rescind the contract in the following cases: Did he sign the contract by mistake, or was he tricked or forced to sign? (1) If the consent of the party rescinding, or of any party jointly contracting with him, was given by mistake, or obtained through duress, menace, fraud, or undue influence, exercised by or with the connivance of the party as to whom he rescinds, or of any other party to the contract jointly interested with such party. Did you not deliver? (2) If the consideration for the obligation of the rescinding party fails, in whole or in part, through the fault of the party as to whom he rescinds. (3) If the consideration for the obligation of the rescinding party becomes entirely void from any cause. (4) If the consideration for the obligation of the rescinding party, before it is rendered to him, fails in a material respect from any cause. Was your lease illegal? (5) If the contract is unlawful for causes which do not appear in its terms or conditions, and the parties are not equally at fault. Does your lease stand against the interest of the public? (6) If the public interest will be prejudiced by permitting the contract to stand. In a later section of this legal mumbo jumbo you will find as section that applies to a contract made at "other than appropriate trade premises." which means a place where the owner/seller normally does not do business. So is your house such a place? Only if you were the buyer, but it couldn't be if you were the seller. There is nothing in here about 3 days! and nothing about immediate payment! A home solicitation contract ( offered to a buyer ) written pursuant to Section" 7151.2 of the Business and Professions Code shall... include in immediate proximity to the space reserved for his or her signature, the following statement in a size equal to at least 12-point boldface type, which shall be dated and signed by the buyer: "Three-Day Right to Cancel "You, the buyer, may cancel this transaction at any time prior to midnight of the third business day after the date of this transaction. You may cancel by e-mailing, mailing, faxing, or And that cancellation does not include verbal! delivering a written notice to the contractor at the contractor's place of business by midnight of the third business day after you received a signed and dated copy of the contract that includes this notice. Include your name, your address, and the date you received the signed copy of the contract and this notice. Does your lease voluntarily (it doesn't have to) include this statement? Only if it does, does he have the right to cancel his contract with you within 3 days. The long answer to your question in your case is NO.
Registered: 1169270040 Posts: 3,632
Reply with quote #3
There is no cooling off period for residential leases. There is a cooling off period for sales contracts signed in a place other than the office. The tenant is referring to consumer credit and sales laws, not housing laws. Tell the tenant you are sorry, but that law does not apply to residential leases and they are responsible for the rent until re-rented, the advertisings costs, agent fees if you use one to find a new tenant, and any other unreimbursed costs (like credit or background check fees). Make sure you do the itemized accounting of their deposit within your state's time limit of 21 days from when they notified you that they would not be taking possession.
Registered: 1244487307 Posts: 1
Reply with quote #4
What would be worst case for landlord to deduct appropriate costs incurred in acquiring new tenant and release remaining deposits after 21 days?
Tenants threaten to sue over their so-called right to recsind, then they bear costs of filing, any associated legal costs, and perhaps losing in court. __________________ Chris
Registered: 1337142869 Posts: 1
Reply with quote #5
So in the above situation, if the tenant was influenced unduly, can they rescind the contract? And what I mean by "unduly", if I told the tenant the advertised price was only good if they signed today, and if they didn't sign today I would increase the rate, would that qualify as undue influence?
Registered: 1169270040 Posts: 3,632
Reply with quote #6
Isn't that what your car dealer does? Buy today at this price. Can't guarantee that price tomorrow. That isn't undue influence. You did not lie to entice signature did you?