Pennsylvania Act 2024-29 — PROHIBITION OF EARLY CONTRACT TERMINATION FEES UPON DEATH ACT- ENACTMENT

Act text

An Act

Prohibiting fees for early termination of certain contracts upon death; providing for waiver of applicable fees; and imposing civil penalties.

The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows:

Section 1. Short title.

This act shall be known and may be cited as the Prohibition of Early Contract Termination Fees Upon Death Act.

Section 2. Definitions.

The following words and phrases when used in this act shall have the meanings given to them in this section unless the context clearly indicates otherwise:

"Provider." A person in this Commonwealth that provides contract services for cable television, cellular or other telecommunications, direct broadcast satellite, electric generation service to a retail electric customer as defined in 66 Pa.C.S. § 2803 (relating to definitions), heating oil, natural gas supply or Voice over Internet Protocol.

Section 3. Prohibition on early termination fees.

(a) General rule.--A provider may not impose a fee for early termination of a service contract if a party to the contract dies before complete performance of the contract and the executor or administrator of the decedent's estate provides notice under subsection (c).

(b) Vehicle lease applicability.--A vehicle lessee shall not be liable for charges for the early termination of a lease agreement for a motor vehicle if the lessee dies before the end of the lease and the executor or administrator of the decedent's estate provides notice under subsection (c).

(c) Notice of death.--The executor or administrator of a decedent's estate may terminate a decedent's contract with a provider or vehicle lessor by providing notice in writing to the provider or vehicle lessor. The executor or administrator must submit a copy of the decedent's certificate of death to the provider or vehicle lessor within 180 days of the written notice. The provider or vehicle lessor shall waive the charges under subsection (a) or (b) as of the date the provider receives notice under this subsection.

(d) Civil penalties.--A violation of this act shall be considered a violation of the act of December 17, 1968 (P.L.1224, No.387), known as the Unfair Trade Practices and Consumer Protection Law.

Section 4. Applicability.

This act shall apply to contracts executed on or after the effective date of this section.

Section 5. Effective date.

This act shall take effect in 60 days.