A seller that uses a fixed term installment contract entered into or modified on or after August 1, 2026, shall not charge an early termination fee or any similar fee in an amount greater than 30 percent of the total sum for which the consumer is obligated under the fixed term installment contract, exclusive of the application of the termination fee.
Cal. Bus. & Prof. Code § 17820
Fixed Term Installment Contracts
Added by Stats. 2025, Ch. 557, Sec. 1
Official source: California Legislative Information. Reproduced from public-domain California statutes; confirm against the official source for the current text. Not legal advice.