The Wagners entered into a contract with Crummy Construction under which Crummy agreed to do $33,000 worth of remodeling of the Wagner home.Crummy agreed that the contract price could be paid in installments,and that to secure these payments,Crummy would take out a second mortgage on the Wagner home.The day after signing the contract,the Wagners had second thoughts and immediately hand-delivered a written notice to Crummy stating that they wanted to rescind the contract.Can they do so?

Question

Quizplus · Accepted Answer

The Truth in Lending Act (TILA)provides a cancellation right to the buyer,technically called a "right of rescission," for three business days after the purchase on credit or after such time as the creditor makes the required disclosure.The right is limited to cases in which the debtor's home is used as collateral but does not apply to first mortgages that finance the purchase or construction of a home.

The Wagners Entered into a Contract with Crummy Construction Under