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Article: Law offers protection in contract renewals
- Article from:
- SouthtownStar (Chicago, IL)
- Article date:
- March 14, 2008
CopyrightCopyright, 2008, SouthtownStar (Chicago, IL). All rights reserved. REPRODUCTION PROHIBITED. (Hide copyright information)
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Q: I signed a one-year contract for an alarm company to monitor my
home. I did not like the service, but after a year I received a bill
for $350 for the next year's service. I told the alarm company I
wanted to cancel but was told it was too late because the contract
automatically renewed.
I looked at the contract, and in fine print it said I had to cancel
in writing 60 days before the end of the contract or it would
automatically renew. Can the alarm company hold me to this contract?
A: Probably not. A state law, the Automatic Contract Renewal Act,
protects consumers against this type of trickery. The law modifies
the general rule of law that states that if you sign a contract, ...