Sec. 11. Renegotiations and extensions
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/bill/113/s/1208/is/section-11·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
With respect to any rental-purchase agreement, a renegotiation occurs when the agreement is satisfied and replaced by a new agreement undertaken by the same consumer. A renegotiation requires new disclosures in accordance with this Act, except as provided in subsection (c). With respect to any rental-purchase agreement, an extension is an agreement by the consumer and the merchant, to continue an existing rental-purchase agreement beyond the original end of the payment schedule, but does not include a continuation that is the result of a renegotiation.
New disclosures under this Act are not required in connection with a rental-purchase agreement for the following events, even if the event meets the definition of a renegotiation or an extension: A reduction in payments. A deferment of 1 or more payments. The extension of a rental-purchase agreement. The substitution of property with property that has a substantially equivalent or greater economic value, provided the rental-purchase cost does not increase. The deletion of property in a multiple-item agreement.
A change in rental period, provided the rental-purchase cost does not increase. An agreement resulting from a court proceeding. Any other event described in regulations prescribed by the Commission.