CHAPTER 57. HOME SERVICE CONTRACT PROVIDERS

§3141. Scope and purpose

            A. The purposes of this Part are the following:

            (1) To create a registration and assurance mechanism for home service contract providers in this state.

            (2) To encourage innovation in the marketing and development of more economical and effective means of providing services under home service contracts while placing the risk of innovation on the providers rather than on consumers.

            (3) To permit and encourage fair and effective competition among different systems of providing and paying for these services.

            B. The following shall be exempt from this Chapter:

            (1) Warranties as defined in this Chapter.

            (2) Maintenance-only agreements as defined in this Chapter.

            (3) Service contracts sold or offered for sale to persons other than consumers.

            (4) Contracts sold or offered for sale on a single new item of property at the time of the sale of the property, or within one year of the date of the sale, which guarantee the performance of the service, repair, replacement, or maintenance of the property or guarantee to indemnify for the service, repair, replacement, or maintenance of a single item of residential property.

            Acts 2015, No. 161, §1, eff. Jan. 11, 2016.