70C-2-207 - Referral sales.
70C-2-207. Referral sales.
With respect to a consumer credit sale, the seller may not give or offer to give a rebate ordiscount or otherwise pay or offer to pay value to the buyer as an inducement for a sale inconsideration of his giving to the seller the names of prospective purchasers or otherwise aidingthe seller in making a sale to another person, if the earning of the rebate, discount, or other valueis contingent upon the occurrence of an event subsequent to the time the buyer agrees to buy. If abuyer is induced by a violation of this section to enter into a consumer credit sale, the agreementis unenforceable by the seller and the buyer may rescind the agreement and retain any goodsdelivered until all payments made by the debtor have been fully refunded to him. The buyer mayretain the benefit of any services performed without any obligation to pay for them. This sectiondoes not apply if any goods delivered to the buyer are damaged while in the buyer's possession orare not delivered to the seller at the buyer's residence, or at any other place agreed on by theparties, within a reasonable time after the seller tenders or delivers a full refund of all payments tothe buyer.
Enacted by Chapter 159, 1985 General Session