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The laws vary in different states and it can depend on the reason why you want to cancel. It is important that you check the rules in your particular state. Also, its not easy. For example, some states have Lemon Laws that cover the purchase of a car with unreasonable and costly repairs. You need to act within the statutory warranty period (or the short warranty period offered by the seller) which in most cases is only thirty days. You need to document the problems and have proof that you gave the dealer the opportunity to repair them and they failed. You may need to sue in court.

For terminating a contract you need to first review the contract looking for an explanation of your right to terminate. For car sales in many jurisdictions there is no statutory right to cancel the contract. Some dealerships have a no questions asked policy for a short period of time after the sale but you must make certain you have that in writing. One local dealership offers a 48 hour full refund period if you change your mind.

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Q: Is there a time period when a purchaser can terminate a contract with a dealership due to problems with a car?
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