SB 709

This bill provides that a sale by an entity regulated by the Office of the

Commissioner of Insurance or by the entity's affiliates is not a “consumer approval

transaction” for which the entity or affiliate must provide the customer with notice

and for which the customer has a three-day right to cancel under the Wisconsin

Consumer Act (consumer act). Under current law, a transaction that is in an amount

of $25,000 or less and that is entered into by a consumer for personal, family, or

household purposes is generally subject to the consumer act. The consumer act

grants consumers certain rights and remedies and contains notice and disclosure

requirements and prohibitions that generally are not required for other

transactions. Currently, under the consumer act, a customer has the right to cancel

a consumer approval transaction until midnight of the third business day after the

merchant gives a statutorily required notice to the customer. Under current law, a

“consumer approval transaction” is defined as a transaction that 1) is initiated by

face-to-face solicitation away from a regular place of business of the merchant or by

mail or telephone solicitation directed to the particular customer and 2) is

consummated or in which the customer's offer to contract or other writing evidencing

the transaction is received by the merchant away from a regular place of business

of the merchant and involves the extension of credit or is a cash transaction in which

the amount the customer pays exceeds $25.