How to Cancel a Legal Contract in Tennessee

By Renee Booker

If you have entered into a contract in the state of Tennessee and wish to cancel the contract you may have a legal basis to do so. Many people enter into a contract due to pressure from the salesman or as an impulse buy only to regret the purchase before the ink is even dry on the contract. Luckily, both federal and state laws may provide a legal way for you to cancel the contract without any negative repercussions.

Read the contract thoroughly, paying special attention for any right to cancellation provision within the contract itself. In some cases, a contract has a built-in period of time within which the buyer may cancel the contract with no questions asked.

Determine if the type of contract you signed falls into the protection of the federal "cooling off rules." The federal government has determined that certain types of transactions are particularly prone to prey on buyers and therefore requires the sellers to allow buyers three days to cancel the contract after it is signed. These rules apply to door to door sales, trade show sales, home equity loans and delayed mail order or internet sales.

Check the current Tennessee laws to see if a state "cooling off" period applies to the contract you signed. Tennessee, like many other states, also provides state regulated cooling off periods for certain types of contracts. For instance, as of 2010 Tennessee provides a possible out for anyonewho has signed a buyers club contract. The Consumer Affairs Division of the Tennessee Department of Commerce and Insurance is a good place to start to find out whether a Tennessee regulation applies to the contract you have signed. The Consumer Affairs Division can be reached at 615-741-4737. The Tennessee Attorney General's Office may also be able to help. They can be reached at 615-741-3491.

Notify the seller of your intention to cancel the contract as soon as possible in writing. If you believe that a state or federal law supports your right to cancel the contract, reference the law in your notice to cancel. Deliver the notice by certified mail.

About the Author

Renee Booker has been writing professionally since 2009 and was a practicing attorney for almost 10 years. She has had work published on Gadling, AOL's travel site. Booker holds a Bachelor of Arts in political science from Ohio State University and a Juris Doctorate from Indiana University School of Law.

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