Bill > H203

This bill updates North Carolina's laws regarding home and motor vehicle service agreements by adding more consumer protections and clarifying definitions. Specifically, the bill requires home service agreements to include detailed lists of covered items, clear descriptions of what is and isn't covered, and a prominent statement about the consumer's right to cancel the agreement with a pro-rata refund. Home service agreement companies must now provide consumers with a copy of the agreement, maintain an updated list of approved vendors, and ensure timely repairs for critical home systems. The bill also redefines and restructures existing statutes to create more precise language around service agreements, including motor vehicle service agreements. It expands definitions to include a broader range of service scenarios and adds requirements like preventing arbitrary cancellation of agreements by companies. The bill appropriates $50,000 to the Department of Justice to help enforce these new provisions, with most changes becoming effective on October 1, 2025, for service agreements entered into on or after that date. The goal is to provide consumers with more transparency, flexibility, and protection when purchasing home and vehicle service agreements.

Government Affairs

https://www.ncleg.gov/BillLookUp/2025/H203