Prohibition on early termination fees

Act 29 of 2024, § 3, under PROHIBITION OF EARLY CONTRACT TERMINATION FEES UPON DEATH ACT- ENACTMENT.

Act 29 of 2024, § 3

Section 3. Prohibition on early termination fees.

(a) General rule.--A provider may not impose a fee for early termination of a service contract if a party to the contract dies before complete performance of the contract and the executor or administrator of the decedent's estate provides notice under subsection (c).

(b) Vehicle lease applicability.--A vehicle lessee shall not be liable for charges for the early termination of a lease agreement for a motor vehicle if the lessee dies before the end of the lease and the executor or administrator of the decedent's estate provides notice under subsection (c).

(c) Notice of death.--The executor or administrator of a decedent's estate may terminate a decedent's contract with a provider or vehicle lessor by providing notice in writing to the provider or vehicle lessor. The executor or administrator must submit a copy of the decedent's certificate of death to the provider or vehicle lessor within 180 days of the written notice. The provider or vehicle lessor shall waive the charges under subsection (a) or (b) as of the date the provider receives notice under this subsection.

(d) Civil penalties.--A violation of this act shall be considered a violation of the act of December 17, 1968 (P.L.1224, No.387), known as the Unfair Trade Practices and Consumer Protection Law.