What notice must be on the first page of a California car purchase or lease contract?
Quick answer
A fixed paragraph, printed clearly and conspicuously, saying California has no cooling-off period for new vehicles, but a used vehicle bought or leased for $50,000 or less can be cancelled within 3 days for any reason, that a restocking fee may apply, and that the buyer should read the separate disclosure the dealer must give (Civil Code 1784.43(e)).
What does the law say? Key facts and official sources
| Item | What the law says | Source |
|---|---|---|
| Law | Cal. Civil Code 1784.43(e), CARS Act (SB 766); operative October 1, 2026 | Official source |
| Where | The first page of the purchase or lease agreement, clearly and conspicuously | Official source |
| Wording | "CALIFORNIA DOES NOT HAVE A COOLING-OFF PERIOD FOR NEW VEHICLES. HOWEVER, IF YOU PURCHASED OR LEASED A USED VEHICLE FOR $50,000 OR LESS, YOU HAVE 3 DAYS TO CANCEL THIS CONTRACT FOR ANY REASON. ADDITIONAL RESTRICTIONS MAY APPLY, INCLUDING A RESTOCKING FEE." followed by two sentences pointing to the required disclosure | Official source |
| Wall sign | Separate rule: a physical notice in at least 36-point type in each sales office, cubicle and contract room (Vehicle Code 11709.2(a)) | Official source |
| Motorcycles | Where motorcycles or off-highway vehicles are sold at the same location, the wall sign adds a line that the cooling-off period does not apply to them (11709.2(b)) | Official source |
| Type size | 1784.43(e) gives no point size for the contract paragraph | Official source |
| Last verified | October 23, 2026 | Astor Ventures |
Is the contract wording the same as the wall sign?
Close but not identical. The contract paragraph says "HOWEVER" where the sign says "BUT", and it ends with two sentences about returning the vehicle for a refund and reading the dealer's disclosure, while the sign ends by telling buyers to ask the dealer. Print each text exactly as the statute gives it.
Does this go on new-car contracts too?
The statute says the dealer will disclose it on the first page of the purchase or lease agreement and does not limit that to used vehicles. The text itself starts by saying there is no cooling-off period for new vehicles. Check that your current contract form carries it.
What else must the buyer get?
For used vehicles at $50,000 or less, a separate document titled "3-Day Right to Cancel Used Car Purchase or Lease" with nine required items (1784.43(b)). The first-page paragraph does not replace it.
Want it done in an afternoon? The California CARS Act dealer kit turns these rules into fill-in templates, a checklist and a tracker, with the official sources quoted. One-time payment, instant download.
What else do people ask?
Can I paraphrase the paragraph?
The statute quotes the text in full. Use it word for word.
When did this start?
October 1, 2026, when the CARS Act provisions became operative.
Is there a fixed fine for leaving it out?
1784.43 sets no dollar fine itself. See our CARS Act penalty guide.
Is this legal advice?
No. General information only.