Many states have laws (statutes) that allow a consumer to cancel a contract or sale made at the consumer’s home, at the home of another person (at an in-home sales party), or at another place that is not the seller’s permanent place of business. A consumer’s right to cancel such a home-solicitation contract is also known as a right to rescind the contract, or a cooling-off rule, and is based on the belief that a consumer is more vulnerable to high pressure sales tactics in such settings, as it is more difficult for the consumer to walk away from the salesperson.

Such buyer’s remorse laws governing a consumer’s right to cancel a sales contract vary from state to state, but the seller generally must give a copy of the contract to the consumer at the time the contract is signed, and it must include a written statement of the consumer’s right to cancel and the proper means of giving the seller notice of the cancellation of the contract.

Under some state laws a consumer does not have the right to cancel such a contract if the consumer requests the seller provide the goods or services without delay in an emergency situation—to protect the health, safety, or welfare of persons, or to prevent damage to the consumer’s property.

The Federal Trade Commission (FTC) also has a cooling-off rule that gives consumers the right to cancel a sale within three days if the sale was made at someone’s home or workplace, or at a seller’s temporary location, such as a hotel room, convention center, fairground, or restaurant. Under the FTC’s Cooling-Off Rule, a seller must inform a consumer of the consumer’s right to cancel at the time of sale, and must give the consumer two copies of a cancellation form and a copy of the contract or receipt. The consumer’s right to cancel for a full refund extends until midnight of the third business day after the sale. The consumer does not have to give a reason for canceling the purchase. There are exceptions to the FTC’s Cooling-Off Rule.

In South Dakota, consumers have certain protections when it comes to in-home sales and other off-premises transactions. These protections are similar to the Federal Trade Commission's (FTC) Cooling-Off Rule, which allows consumers to cancel a sale within three days if the sale is made at a location that is not the seller's permanent place of business, such as a home or workplace. South Dakota state law requires that the seller provide the consumer with a copy of the contract at the time of signing, which must include a statement of the consumer's right to cancel. The consumer must be informed of how to notify the seller of the cancellation, and this right to cancel typically extends until midnight of the third business day after the sale. However, this right may not apply in emergency situations where the consumer has requested immediate goods or services to protect health, safety, or to prevent property damage. It's important for consumers to be aware of these rights and for sellers to comply with these regulations to ensure fair and transparent transactions.