Home Warranty Cancellation Fees

Summary

Verbal contracts in Idaho can be legally binding, but all fees, including cancellation fees, must be clearly disclosed. If you were not informed about the cancellation fee, you might not be obligated to pay it. Consult a local attorney for precise advice.

Full Conversation

I purchased a home warranty policy over the phone when we were just making it offers on houses . No purchase of a house has occurred . So, I decided to cancel my policy. The term of the policy from */* to */* with 2 months free and 30 day moneyback cancellation. I was charged in */*, */*, and */* although I cancelled in. */ * prior to the due date. Noe they are demanding a * dollar cancellation fee minus the last charge . What I want to know is was it ethical or even legal for them to charge me when I do not have a home purchased? And since they did not inform me if this fee until after purchase an I legally obligated to pay it? I signed no contract in writing or electronically for said policy.
Hello Laurie, I understand your frustration. Could you please let me know your location? The legality of this situation can vary depending on your local and state laws.
Idaho
Hello Laurie, in Idaho:
- Verbal contracts can be legally binding.
- However, the company must clearly disclose all fees, including cancellation.
- If you were not informed about the cancellation fee, you could potentially dispute it.
Please consult with a local attorney for advice specific to your situation.
I was not informed
I understand, Laurie. If you weren't informed about the cancellation fee, you might not be obligated to pay it. However, it's best to consult with a local attorney for precise advice. In case you need, I can provide you with details of the nearest court in Idaho.
Ok thanks

Ada County Courthouse


Phone: (*) *-*
Address: * W Front St, Boise, ID *
Website: courts.idaho.gov