Your lease customer is entitled to a One-Day Cooling Off Period, as provided for under the The Motor Dealer Act Regulation. After the lease agreement has been signed, the customer may cancel the lease without penalty within one full business day (which includes a Saturday), during which time the motor dealer physically keeps the vehicle in their possession. It was recently brought to our attention by an experienced and informed Business Manager after taking her Level II licensing course with VSA, that the law allows a lease customer “One Clear Day” as the cooling-off period. This means that the customer must have one full business day to cool off after signing the lease contract.
For example, if a lease is signed on Tuesday and your customer changes their mind, they must notify you of their decision to cancel by Wednesday (the next business day) midnight (one FULL business day following the day the lease was entered into). Keep in mind, that the days your dealership is closed do not count as cooling-off days. Statutory holidays and Sundays do not count either. Therefore, if a lease is signed on a Saturday, Monday is considered the cooling-off day when your customer may cancel their contract.
Customers who want to take possession of their vehicle immediately may waive this requirement in writing.
Thanks Angela for bringing this to our attention!
Tags: Business Manager, cancel, cooling off period, lease, lease agreement, lease contract, Level II, Licensing, one clear day, one full business day, one-day cooling-off period, statutory holidays, The Motor Dealer Act Regulation, VSA, waive requirement