cooling-off period

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Cooling-Off Period

An interval of time during which no action of a specific type can be taken by either side in a dispute. An automatic delay in certain jurisdictions, apart from ordinary court delays, between the time when Divorce papers are filed and the divorce hearing takes place. An amount of time within which a buyer is permitted to cancel a contract for the purchase of consumer goods—designed to effect Consumer Protection. A number of states require that a three-day cancellation period must be allowed purchasers following door-to-door sales.

A cooling-off period is frequently used in labor disputes. There might, for example, be a period of one month following the filing of a grievance by a union or company against the other, during which neither the union nor the company is allowed to take retaliatory actions against each other.

West's Encyclopedia of American Law, edition 2. Copyright 2008 The Gale Group, Inc. All rights reserved.

cooling-off period

a time during which a person can withdraw from a binding contract without any serious penalty. A cooling-off period is not normally available. Such provisions can be found in relation to CANCELLATION of consumer credit contracts, TIMESHARE contracts and DISTANCE SELLING contracts among others.
Collins Dictionary of Law © W.J. Stewart, 2006
References in periodicals archive ?
The reasoning behind a cooling-off period is that the longer a former legislator is out of office, the fewer former colleagues will be in the statehouse upon his or her return.
The earlier legislation gives buyers the right to information in a prospectus before signing a contract, seeks to prevent 'pressure selling' by allowing for a cooling-off period of at least 10 days, and prohibits operators from taking deposits from buyers during the cooling-off period.
The current timeshare purchase 10-day cooling-off period is increased to 14 days, and includes a total ban on advance payments to sellersuntil the 14 days has expired.
MsMcCarthy said: "I have caseswhere my constituents have been pressurised into signing agreements whilst on holiday, but when back home, in the cold light of day, have changed their minds, but the company has not honoured the cooling-off period and they have had to fight to get their money back.
One broadly proposed solution to mitigate this problem is a cooling-off period, a requirement that a certain amount of time must pass before former employees or owners from the current audit firm may accept employment with an audit client.
The Sarbanes-Oxley Act of 2002 (SOA) requires a one-year cooling-off period before publicly held companies may hire their auditor's former employees or owners for key positions.
The results could assist state boards in determining whether the presence or absence of a cooling-off period influences perceptions of independence.
It requires a one-year cooling-off period before public companies may hire former auditors from their current audit firm in senior-level accounting positions, assuming that the company wishes to retain the same audit firm.
On April 3, 2002, the California Board of Accountancy proposed a policy that would have imposed a two-year cooling-off period before supervisory members of an audit team would be allowed to accept employment with a company they have just audited.