Liability of assignees

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  • (a) Assignees. For purposes of sections 291 and 292 and this chapter, the term “merchant” includes an assignee of a merchant. However, an action under section 291 for a violation of this chapter may be brought against an assignee only if the violation is apparent on the face of the rental-purchase agreement to which it relates. A violation apparent on the face of a rental-purchase agreement includes a disclosure that can be determined to be incomplete or inaccurate from the face of the agreement. An assignee has no liability in a case in which the assignment is involuntary.

  • (b) Consumer acknowledgment. In an action by or against an assignee, the consumer's written acknowledgment of receipt of a disclosure shall be conclusive proof that the disclosure was made, if the assignee had no knowledge that the disclosure had not been made when the assignee acquired the rental-purchase agreement to which it relates.


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