47-18-609 - Renegotiations Extensions. - Tennessee Statutes

47-18-609. Renegotiations Extensions.

(a)  A renegotiation occurs when an existing rental-purchase agreement is satisfied and replaced by a new lease agreement undertaken by the same consumer. A renegotiation is a new agreement requiring new disclosures. However, events such as the following shall not be treated as renegotiations:

     (1)  The addition or return of property in a multiple item agreement or the substitution of lease property, if in either case the average payment allocable to a payment period is not changed by more than twenty-five percent (25%);

     (2)  A deferral or extension of one (1) or more periodic payments, or portions of a periodic payment;

     (3)  A reduction in charges in the agreement;

     (4)  An agreement involving a court proceeding; and

     (5)  Any other event described in regulations prescribed by the division.

(b)  No disclosures are required for any extension of a rental-purchase agreement.

[Acts 1987, ch. 225, § 10.]