Your Right to Cancel Home Improvement Contracts in Colorado
When you sign a contract for home improvements—whether it’s a new roof, kitchen remodel, or landscaping project—you may later change your mind. Colorado law empowers consumers who enter into “home solicitation sales” to cancel those agreements without penalty within three business days. Known as the “cooling‑off” period, this right ensures you never feel trapped by an on‑the‑spot decision. Below, you’ll find everything you need to know to exercise your cancellation rights confidently under Article 3, Part 4 of Title 5 of the Colorado Revised Statutes.
What Counts as a Home Solicitation Sale?
Under Colorado’s Home Solicitation Sales Act, a “home solicitation sale” occurs when a contractor or salesperson personally solicits you at your residence and you sign an agreement or offer to purchase goods or services C.R.S. § 5‑3‑401. This definition covers most on‑site home improvement contracts but excludes deals made entirely by mail or telephone, transactions at the contractor’s fixed‑location showroom, and sales under preexisting revolving credit accounts.
The Three‑Day Cancellation Window
Once you sign a qualifying home improvement contract at your home, you have the right to cancel until midnight of the third business day following the date of signing. Weekends and state holidays do not count as business days. To preserve this right, you must provide a written notice to the contractor before that deadline expires C.R.S. § 5‑3‑402(1)–(3). A simple letter or postcard stating, “I hereby cancel my contract dated [insert date],” is sufficient.
How to Give Effective Notice of Cancellation
Your cancellation takes effect the moment you deliver written notice to the contractor’s address as stated in your contract C.R.S. § 5‑3‑402(2). If you choose to mail your notice, it is deemed given when you deposit it, properly addressed and postage prepaid, in any mailbox. You do not need a special form—any written expression of your intent not to be bound will suffice C.R.S. § 5‑3‑402(4).
Exceptions: When You Cannot Cancel
Your right to cancel evaporates if you request emergency services in writing—on a separate dated and signed form—and the contractor begins substantial performance in good faith before you send your cancellation notice. In that circumstance, and only if you cannot return delivered goods in their original condition, the cancellation right does not apply C.R.S. § 5‑3‑402(5). Otherwise, no other exceptions apply for standard home improvement work.
Contractor’s Obligations After Cancellation
Once a valid cancellation is received, the contractor must return any down payment or deposit within ten days, as required by the legislature C.R.S. § 5‑3‑404. If you have taken possession of any materials or goods, you must exercise reasonable care and return them in substantially the same condition, unless the contractor fails to demand their return within forty days—after which they become your property without further obligation C.R.S. § 5‑3‑405. Sellers are not entitled to compensation for services performed before cancellation.
Best Practices for Exercising Your Cancellation Right
To ensure your cancellation is effective, prepare a brief written notice clearly referencing the date of your contract, send it by certified mail or deliver it in person, and keep proof of mailing or delivery. Retain a copy for your records. Before you sign any home improvement agreement, verify that it includes: (1) the date of transaction; (2) the contractor’s printed name and address; and (3) the statutory cancellation notice in at least 10‑point type, as mandated by C.R.S. § 5‑3‑403.
Conclusion
Colorado’s three‑day cooling‑off rule under the Home Solicitation Sales Act empowers homeowners to reconsider on‑site home improvement contracts and cancel them without penalty. By understanding which contracts qualify, adhering to the deadlines in C.R.S. § 5‑3‑402, and following proper notice and post‑cancellation procedures, you can protect yourself from buyer’s remorse and ensure that any deposits are fully refunded. When in doubt, act quickly and in writing—your home improvement peace of mind depends on it.
The information provided on this website is for general informational purposes only and should not be construed as legal advice or legal opinion. You should not act or refrain from acting on the basis of any information provided on this website without seeking legal advice from an attorney.