Mich. Comp. Laws » Michigan Compiled Laws / Chapter 445 / Act 227 of 1971
Michigan Compiled Laws

Mich. Comp. Laws § 445.113 (2026)

Written agreement or offer to purchase; contents; form; cancellation; exceptions; conditions.

✓ current as of July 2026
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HOME SOLICITATION SALES


Act 227 of 1971


445.113 Written agreement or offer to purchase; contents; form; cancellation; exceptions; conditions.

Sec. 3.

    (1) In a home solicitation sale, unless the buyer requests the seller to provide goods or services without delay in an emergency, the seller shall present to the buyer and obtain the buyer's signature to a written agreement or offer to purchase that designates as the date of the transaction the date on which the buyer actually signs.

    The agreement or offer to purchase shall contain a statement substantially as follows in immediate proximity to the space reserved in the agreement or offer to purchase for the signature of the buyer:

    "You, the buyer, may cancel this transaction at any time prior to midnight of the third business day after the date of this transaction. See the attached notice of cancellation form for an explanation of this right. Additionally, the seller is prohibited from having an independent courier service or other third party pick up your payment at your residence before the end of the 3-business-day period in which you can cancel the transaction."

    (2) The seller shall attach to the copy or cause to be printed on the reverse side of the written agreement or offer to purchase retained by the buyer a notice of cancellation in duplicate that shall appear as follows:

    

    "notice of cancellation

    (enter date of transaction)

    (date)

    You may cancel this transaction, without any penalty or obligation, within 3 business days from the above date.

    If you cancel, any property traded in, any payments made by you under the contract or sale, and any negotiable instrument executed by you will be returned within 10 business days following receipt by the seller of your cancellation notice, and any security interest arising out of the transaction will be canceled.

    If you cancel, you must make available to the seller at your residence, in substantially as good condition as when received, any goods delivered to you under this contract or sale; or you may if you wish, comply with the instructions of the seller regarding the return shipment of the goods at the seller's expense and risk.

    If you do make the goods available to the seller and the seller does not pick them up within 20 days of the date of your notice of cancellation, you may retain or dispose of the goods without any further obligation. If you fail to make the goods available to the seller or if you agree to return the goods to the seller and fail to do so, then you remain liable for performance of all obligations under the contract.

    To cancel this transaction, mail or deliver a signed and dated copy of this cancellation notice or any other written notice, or send a telegram to (name of seller), at (address of seller's place of business) not later than midnight on

    

    _________________________________

    (date)

    I hereby cancel this transaction.

    _________________________________

    (date)

    ____________________________

    (buyer's signature) "

    (3) The notices required by this section shall be in not less than 10-point bold type and shall be 2 points larger than the text of the contract. A written agreement or offer to purchase and the notice of cancellation attached to the agreement or offer shall be written in the same language as that used in any oral presentation that was given to facilitate sale of the goods or services. The seller shall enter on the blanks in the notice of cancellation the date of transaction, which is the date the buyer signs the written agreement, and the date for mailing the notice of cancellation. An error in entering this information shall not diminish the buyer's rights under this act.

    (4) Until the seller has complied with this section, the buyer may cancel the home solicitation sale by notifying the seller in any manner and by any means of his or her intention to cancel.

    (5) This section does not apply to a home solicitation sale where the seller engaged in a telephone solicitation of the sale if sections 505 to 507 of the Michigan telecommunications act, 1991 PA 179, MCL 484.2505 to 484.2507, apply to the solicitation or sale.

    (6) This section does not apply to a home solicitation sale of natural gas or electricity if the seller is any of the following:

    (a) An electric utility or gas utility that is regulated by the commission and complies with any orders or tariffs issued by the commission concerning home solicitations by alternative electric suppliers or alternative gas suppliers in making the solicitation.

    (b) An alternative gas supplier or alternative electric supplier licensed by the commission that complies with any applicable orders or tariffs issued by the commission concerning home solicitations in making the solicitation.

    

History: 1971, Act 227, Imd. Eff. Jan. 3, 1972 ;-- Am. 1978, Act 152, Imd. Eff. May 18, 1978 ;-- Am. 2000, Act 15, Imd. Eff. Mar. 8, 2000 ;-- Am. 2002, Act 612, Eff. Mar. 31, 2003 ;-- Am. 2006, Act 138, Imd. Eff. May 12, 2006

Notes of Decisions
Cited in 6 cases (1 in the last 5 years), 1990–2026 · leading case: Brown v. Jacob, 454 N.W.2d 226 (Mich. Ct. App. 1990).
Sort: Relevance Newest Treatment
Brown v. Jacob, 454 N.W.2d 226 (Mich. Ct. App. 1990). · cites it 8× “The contract did not provide that it could be cancelled within three days of its execution and did not contain a "notice of cancellation" as required by the home solicitation sales act (HSSA), MCL 445.113; MSA 19.416(203). Jacob eventually became dissatisfied with Brown's work…”
Reynolds v. D & N BANK, 792 F. Supp. 1035 (E.D. Mich. 1992). · cites it 5× “§ 445.113. Because defendant failed to comply with plaintiffs’ demand, plaintiffs filed this action to enforce the rescission and to obtain actual and statutory damages under the TILA.”
Patrick v. US Tangible Inv. Corp., 595 N.W.2d 162 (Mich. Ct. App. 1999). · cites it 2× “Plaintiffs rely on MCL 445.113; MSA 19.416(203), which enables a buyer to cancel a home sales agreement at any time before the seller gives notice to the buyer that the contract may be canceled three business days after the date of execution.”
Patrick v. Us Tangible Inv., 595 N.W.2d 162 (Mich. Ct. App. 1999). · cites it 2× “MCL 445.113; MSA 19.416(203) states in relevant part: (1) .”
In Re Bayless, 326 B.R. 411 (Bankr. E.D. Mich. 2005). · cites it 3× “Debtors contend that because Paramount did not provide Debtors with the prescribed form of cancellation notice permitting the buyer to cancel within three days as required by MHSSA § 445.113, and because MHSSA § 445.112(1) provides that a buyer may cancel a sale under this Act…”
Mills Siding & Roofing LLC v. Margie Rosario (Mich. Ct. App. 2026). “MCL 445.113(1). Failure to comply with this requirement renders the contract unenforceable.”
— Mich. Comp. Laws § 445.113(1) — 2 cases
Brown v. Jacob, 454 N.W.2d 226 (Mich. Ct. App. 1990). “The contract did not provide that it could be cancelled within three days of its execution and did not contain a "notice of cancellation" as required by the home solicitation sales act (HSSA), MCL 445.113; MSA 19.416(203). Jacob eventually became dissatisfied with Brown's work…”
Mills Siding & Roofing LLC v. Margie Rosario (Mich. Ct. App. 2026). “MCL 445.113(1). Failure to comply with this requirement renders the contract unenforceable.”
— Mich. Comp. Laws § 445.113(2) — 1 case
In Re Bayless, 326 B.R. 411 (Bankr. E.D. Mich. 2005). “Debtors contend that because Paramount did not provide Debtors with the prescribed form of cancellation notice permitting the buyer to cancel within three days as required by MHSSA § 445.113, and because MHSSA § 445.112(1) provides that a buyer may cancel a sale under this Act…”
— Mich. Comp. Laws § 445.113(3) — 1 case
Reynolds v. D & N BANK, 792 F. Supp. 1035 (E.D. Mich. 1992). “§ 445.113. Because defendant failed to comply with plaintiffs’ demand, plaintiffs filed this action to enforce the rescission and to obtain actual and statutory damages under the TILA.”
— Mich. Comp. Laws § 445.113(4) — 2 cases
Brown v. Jacob, 454 N.W.2d 226 (Mich. Ct. App. 1990). “The contract did not provide that it could be cancelled within three days of its execution and did not contain a "notice of cancellation" as required by the home solicitation sales act (HSSA), MCL 445.113; MSA 19.416(203). Jacob eventually became dissatisfied with Brown's work…”
Reynolds v. D & N BANK, 792 F. Supp. 1035 (E.D. Mich. 1992). “§ 445.113. Because defendant failed to comply with plaintiffs’ demand, plaintiffs filed this action to enforce the rescission and to obtain actual and statutory damages under the TILA.”
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