Pursuant to Business and Commerce Code, Chapter 601, if: (1) a Contractor solicits business from a homeowner at any location other than the Contractor’s office; and (2) the Contract is executed anywhere other than at the Contractor’s office, then the Homeowner has the absolute right to cancel the Contract within three business days after executing the Contract. If the Homeowner exercises this right, any deposits paid by the Homeowner to the Contractor must be returned within no later than 10 days from when the Contractor receives a formal written Notice of Cancellation. The Contractor is not entitled to compensation for services performed under the Contract; unless the services improved the Property. If the Contractor delivered materials to the Property prior to the cancellation, then the Homeowner must make the materials available to the Contractor; however, if the Contractor fails to recover the materials within 20 days from cancellation, then the materials automatically become the Homeowner’s property. A Contract subject to Chapter 601 must contain the following mandatory Notice in at least 10 font boldface type located just below or above the signature lines:

YOU, THE BUYER, MAY CANCEL THIS TRANSACTION AT ANY TIME PRIOR TO MIDNIGHT OF THE THIRD BUSINESS DAY AFTER THE DATE OF THIS TRANSACTION. SEE THE ATTACHED NOTICE OF CANCELLATION FORM FOR AN EXPLANATION OF THIS RIGHT.

In addition, the Contract must include a detachable Notice of Cancellation Form containing the following information: (1) the Contractor’s company name and address, (2) the date the Contract was executed, (3) the date within which the customer can cancel the Contract and receive a refund of any monies paid, and (4) the following Notice in at least 10 font boldface:

NOTICE OF CANCELLATION

YOU MAY CANCEL THIS TRANSACTION, WITHOUT ANY PENALTY OR OBLIGATION, WITHIN THREE BUSINESS DAYS FROM THE ABOVE DATE. IF YOU CANCEL, ANY PROPERTY TRADED IN, ANY PAYMENTS MADE BY YOU UNDER THE CONTRACT OR SALE, AND ANY NEGOTIABLE INSTRUMENT EXECUTED BY YOU WILL BE RETURNED WITHIN 10 BUSINESS DAYS FOLLOWING RECEIPT BY THE MERCHANT OF YOUR CANCELLATION NOTICE, AND ANY SECURITY INTEREST ARISING OUT OF THE TRANSACTION WILL BE CANCELLED. IF YOU CANCEL, YOU MUST MAKE AVAILABLE TO THE MERCHANT AT YOUR RESIDENCE, IN SUBSTANTIALLY AS GOOD CONDITION AS WHEN RECEIVED, ANY GOODS DELIVERED TO YOU UNDER THIS CONTRACT OR SALE; OR YOU MAY IF YOU WISH, COMPLY WITH THE INSTRUCTIONS OF THE MERCHANT REGARDING THE RETURN SHIPMENT OF THE GOODS AT THE MERCHANT’S EXPENSE AND RISK. IF YOU DO NOT AGREE TO RETURN THE GOODS TO THE MERCHANT OR IF THE MERCHANT DOES NOT PICK THEM UP WITHIN 20 DAYS OF THE DATE OF YOUR NOTICE OF CANCELLATION, YOU MAY RETAIN OR DISPOSE OF THE GOODS WITHOUT ANY FURTHER OBLIGATION. TO CANCEL THIS TRANSACTION, MAIL OR DELIVER A SIGNED AND DATED COPY OF THIS CANCELLATION NOTICE OR ANY OTHER WRITTEN NOTICE, OR SEND A TELEGRAM, TO (name of merchant), AT (address of merchant’s place of business) NOT LATER THAN MIDNIGHT OF (date).

I HEREBY CANCEL THIS TRANSACTION.
(date)
(buyer’s signature)

Failure to include the mandatory Notice and the Notice of Cancellation Form renders the Contract void and unenforceable and subjects the Contractor to actual damages suffered by the Homeowner, if any, and reimbursement of reasonable attorneys’ fees and court costs. Moreover, failure to include the mandatory Notice in the Contract will invalidate an otherwise valid constitutional mechanic’s Lien. (See Texas Constitution Article 16, Section 50(a)(6)(Q)(viii).)