Summary:

 Senate Bill 179 (SB 179) proposes amending the Rental Purchase Agreement Act to allow required cost disclosures to be made electronically for rental-purchase agreements conducted online. The bill ensures that consumers entering into these agreements through electronic commerce receive clear pricing information before completing a transaction. SB 179 does not specify an effective date, making it effective ninety days after the legislative session ends, June 20, 2025, if passed. 

Legislation Overview:

 Senate Bill 179 (SB 179) modifies the Rental Purchase Agreement Act by permitting cost disclosures for online rental-purchase transactions to be provided electronically. These disclosures must include the cash price of the item, the periodic payment amount, and the total number and total amount of periodic payments necessary to acquire ownership. The electronic disclosures must be presented before consumers receive the full rental agreement disclosures required under the law. The bill maintains existing advertising and signage requirements for physical store locations while expanding digital transparency for online transactions.

Implications

SB 179 is unlikely to have a significant fiscal impact on the state, as it primarily affects private businesses conducting rental-purchase agreements. Businesses may benefit from increased efficiency in online transactions, reducing the need for physical signage and printed disclosures. The bill may also enhance consumer protections by ensuring that key financial terms are prominently displayed in electronic agreements before consumers commit to a rental-purchase transaction.
 

Current Law:

 Current law requires that rental-purchase agreements include pricing disclosures but does not specify electronic disclosure requirements for online transactions. Physical store locations must display cost information on tags or cards attached to rental-purchase items. SB 179 modernizes the law by allowing electronic disclosures for e-commerce transactions.