No merchant shall accept payment from a consumer to be applied to the purchase of goods on a layaway plan without first clearly and conspicuously disclosing to the consumer, in a layaway agreement, the following information:
(a) The full name and post office address of the seller;
(b) A description of the goods to be purchased on the layaway plan, including, as appropriate, the type of item, the name of the manufacturer, and the brand name, color, size, style, and model number of such goods;
(c) The cash price of such goods;
(d) A specific itemization of service charges, including, but not limited to, any layaway charge (not to exceed three percent (3%) of the cash price of the goods or five dollars ($5.00), whichever is greater), and charges for delivery, installation, assembly, repair, or other services to the goods, which are separate from the cash price;
(e) The layaway price;
(f) The amount of the buyer’s down payment, together with a statement of the respective amounts credited for cash or credits, the agreed value of any goods to be traded in and a description of such goods;
(g) The total sum which remains owing by the buyer to the seller, the number of installment payments, the amount of such payments, the dates by which such payments are due, and any penalties for late payment where the buyer is not in default;
(h) A clear and concise statement of circumstances constituting buyer default and all consequences of such default, including any imposition of liquidated damages, as permitted under paragraphs (d), (e), and (f) of Section 767.05. The statement shall further include the following:
(1) The buyer will not be in default until a required payment remains unpaid for at least thirty (30) days after the scheduled payment date, as provided in paragraph (a) of Section 767.05;
(2) Where the layaway agreement contains liquidated damages clause, the buyer shall not be in default until at least ten (10) days after the seller mails notice of default to the buyer, as provided in paragraph (b) of Section 767.05;
(3) Where the layaway agreement does not contain a liquidated damages clause, or if the layaway price of the specific goods subject to the layaway arrangement is one hundred dollars ($100.00) or less, the seller is not required to mail notice of default as a prerequisite to the buyer’s default, as provided in paragraph (c) of Section 767.05; and
(4) Upon default, the seller may cancel the layaway agreement as provided in paragraphs (1)-(3) above and in paragraph (d) of Section 767.05; and
(i) A clear and conspicuous statement of the buyer’s rights to cancel such layaway agreement as provided in paragraph (f) of Section 767.05.
(Ord. 2004-455. Adopted 8-30-04.)