2023 Michigan Compiled Laws › Chapter 445 - Trade and Commerce › Act 332 of 1965 - Home Improvement Finance Act (445.1101 - 445.1431) › 332-1965-2 - Part 2 (445.1201...445.1209) › Section 445.1203 - Home Improvement Installment Contract; Additional Required Contents.

445.1203 Home improvement installment contract; additional required contents.
Sec. 203.
Except as provided in sections 306, 307 and 308, a home improvement installment contract shall contain the following:
(a) The name and place of business of the contractor, the name and address of the buyer as specified by the buyer, the location of the premises to be improved, and a description of the goods and services sufficient to identify them.
(b) The cash price of the goods and services which are the subject matter of the sale.
(c) The amount of the buyer's down payment, itemizing any allowance given by the contractor, amounts paid in money and in goods and containing a brief description of the goods, if any, traded in.
(d) The unpaid cash balance which is the difference between item (b) and item (c).
(e) The premium paid for each type of insurance included in the contract for which a separate charge is made, a statement as to whether the insurance is to be procured by the contractor or buyer, and a brief description of each type of coverage and the term thereof.
(f) The amount of official fees, if any.
(g) The principal amount financed, which is the sum of items (d), (e) and (f).
(h) The amount of the finance charge expressed in dollars.
(i) The time balance, which is the sum of items (g) and (h), payable by the buyer to the contractor, the number of installments required, the amount of each installment expressed in dollars and the due date or period thereof.
(j) The time sale price.
(k) If any installment substantially exceeds in amount any prior installment other than the down payment, the following legend printed in 10-point bold type or typewritten and underlined: This contract is not payable in installments of equal amounts. Followed, if there be but 1 larger installment, by: An installment of $.......... will be due on ..................., or if there be more than 1 larger installment, by: Larger installments will be due as follows: ................... (Insert the amount or amounts of every larger installment and its due date).
(l) This contract may be rescinded or cancelled by the buyer not later than 5 p.m. on the business day following the date thereof by giving written notice of rescission to the contractor or his agent at his place of business given in this contract or by mailing the notice of cancellation to the contractor to his place of business given in the contract by depositing a properly addressed certified letter in a United States post office or mail box, but if he rescinds after 5 p.m. on the business day following, he is still entitled to offer defenses in mitigation of damages and to pursue any rights of action or defenses that arise out of the transaction.
The items need not be stated in the sequence or order set forth above. Additional items may be included to explain the computation made in determining the amount to be paid by the buyer. The contract need not make any reference to item (e) or item (f) if a charge for the item is not included in the contract.
History:
1965, Act 332, Eff. Jan. 1, 1966