Page:United States Statutes at Large Volume 90 Part 1.djvu/307

 PUBLIC LAW 94-240—MAR. 23, 1976

90 STAT. 257

Public Law 94-240 94th Congress An Act To amend the Truth in Lending Act to protect consumers against inadequate and misleading leasing information, assure meaningful disclosure of lease terms, and limit ultimate liability in connection with leasing of personal property primarily for personal, family, or household purposes, and for other purposes.

Mar. 23, 1976 [H.R. 8835]

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may Consumer be cited as the "Consumer Leasing Act of 1976". 1976°^ ^^^ °^ riNDINGS AND PURPOSE

note. SEC. 2. Section 102 of the T r u t h in Lending Act (15 U.S.C. 1601) is amended by inserting " (a) " before the first sentence, and adding the following subsection: " (b) The Congress also finds that there has been a recent trend toward leasing automobiles and other durable goods for consumer use as an alternative to installment credit sales and that these leases have been offered without adequate cost disclosures. I t is the purpose of this title to assure a meaningful disclosure of the terms of leases of personal property for personal, family, or household purposes so as to enable the lessee to compare more readily the various lease terms available to him, limit balloon payments in consumer leasing, enable comparison of lease terms with credit terms where appropriate, and to assure meaningful and accurate disclosures of lease terms in advertisements.". DISCLOSURE o r LEASE TERMS

SEC. 3. The T r u t h in Lending Act (15 U.S.C. 1601-1665) amended by adding at the end thereof a new chapter as follows:

is

"Chapter 5—CONSUMER L E A S E S "Sec.

"181. Definitions. "182. Consumer lease disclosures. "183. Lessee's liability on expiration or termination of lease, "184. Consumer lease advertising. "185. Civil liability. "186. Relation to State laws. "§181. Definitions " For purposes of this chapter— 15 USC 1667. " (1) The term 'consumer lease' means a contract in the form of a lease or bailment for the use of personal property by a n a t u r a l person for.a period of time exceeding four months, and for a total contractual obligation not exceeding $25,000, primarily for personal, family, or household purposes, whether or not the lessee has the option to purchase or otherwise become the owner of the property at the expiration of the lease, except that such term shall not include any credit sale as defined in section 103(g). Such term 15 USC 1602. does not include a lease for agricultural, business, or commercial purposes, or to a government or governmental agency or instrumentality, or to an organization.

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