TITLE 6

Commerce and Trade

SUBTITLE II

Other Laws Relating to Commerce and Trade

CHAPTER 43. RETAIL INSTALLMENT SALES

Subchapter III. Restrictions on Retail Installment Contracts


Retail installment sales negotiated and entered into by mail or telephone without personal solicitation by a salesperson or other representative of the seller, where the seller's cash and deferred payment prices and other terms are clearly set forth in a catalog or other printed solicitation of business which is generally available to the public, may be made as hereinafter provided. All the provisions of this chapter shall apply to such sales except that the seller shall not be required to deliver a copy of the contract to the buyer as provided in § 4309 of this title, and if, when the proposed retail installment sale contract is received by the seller from the buyer, there are blank spaces to be filled in, the seller may insert in the appropriate blank spaces the amounts of money and other terms which are set forth in the seller's catalog which is then in effect. In lieu of the copy of the contract provided for in § 4309 of this title, the seller shall, within 15 days from the date of shipment of goods, furnish to the buyer a written statement of the items inserted in such blank spaces.

6 Del. C. 1953, § 4310; 52 Del. Laws, c. 342; 70 Del. Laws, c. 186, § 1.;

No contract or obligation shall contain any provision by which:

(1) The buyer agrees not to assert against a seller a claim or defense arising out of the sale or agrees not to assert against an assignee such a claim or defense other than as provided in § 4312 of this title;

(2) In the absence of the buyer's default in the performance of any obligations, the holder may, arbitrarily and without reasonable cause, accelerate the maturity of any part or all of the amount owing thereunder;

(3) The seller or holder of the contract or other person acting as agent is given authority to enter upon the buyer's premises unlawfully or to commit any breach of the peace in the repossession of goods;

(4) The buyer waives any right of action against the seller or holder of the contract or other person acting as agent, for any illegal act committed in the collection of payments under the contract or in the repossession of goods;

(5) The buyer executes a power of attorney appointing the seller or holder of the contract, or other person acting as agent, as the buyer's agent in the repossession of goods;

(6) The buyer relieves the seller from liability for any legal remedies which the buyer may have against the seller under the contract or any separate instrument executed in connection therewith.

6 Del. C. 1953, § 4311; 52 Del. Laws, c. 342; 70 Del. Laws, c. 186, § 1.;

No right of action or defense arising out of a retail installment sale which the buyer has against the seller, and which would be cut off by assignment, shall be cut off by assignment of the contract to any third party whether or not the third party acquires the contract in good faith and for value unless the assignee given notice of the assignment to the buyer as provided in this section and within 15 days of the mailing of such notice receives no written notice of the facts giving rise to the claim or defense of the buyer, or unless the assignee acquires the contract or evidence of indebtedness relying in good faith upon a certificate of completion or certificate of satisfaction signed by the buyer. A notice of assignment shall be in writing addressed to the buyer at the address shown on the contract and shall identify the contract and state that the buyer must, within 15 days of the date of mailing of such notice, notify the assignee in writing of any facts giving rise to a claim or defense which the buyer may have. The notice of assignment shall state the name of the seller and buyer, a description of the goods and services, the time balance and the number and amounts of the installments. If a certificate of completion or satisfaction is relied upon, the following notation must appear at the top thereof in at least 10 point bold type: "Notice to Buyer — Do Not Sign this certificate until all services have been satisfactorily performed and materials supplied or goods received and found satisfactory.''

6 Del. C. 1953, § 4312; 52 Del. Laws, c. 342; 70 Del. Laws, c. 186, § 1.;

No contract other than 1 for services shall provide for a lien on any goods theretofore fully paid for or which have not been sold by the seller.

6 Del. C. 1953, § 4313; 52 Del. Laws, c. 342.;

Any provision in a contract which is prohibited by this chapter shall be void but shall not otherwise affect the validity of the contract.

6 Del. C. 1953, § 4314; 52 Del. Laws, c. 342.;