JOHNSCDN & FLAHERTY

staff of Pacific Western Lumber Cornpany, according to Rich Robbins, president of the wholesale distributing concern.

Dave started his lumber career at the close of World War II and, as he says, "I have had tl-re finest training a fellow could receive. Including my father, who was in the lumber business more than 60 years, I have worked with such veterans as L. W. MacDonalcl. Flovd Scott and Peyt Maloney during the past years."

The new sales offices will handle direct shiDments viit c1r,go, rail and truck-and-trailer of all Pacific Coast species of lumber. Located at 518 South Lake Avenue in Pasadena. the phone numbers are MIJrray 1-0993 or 1\,IUrray 1-4101.

Diomond lumber New Lisring

The Diamond Lumber Co., stud manufacturers at Ileatrice and Eureka, California, are new November listings.

CREDIT AND INSTALI'I'IENT SAIE (Unruh Act, Effective January 1, 1960)

(Courtesy of the Lumber Merchants Association of Northern California)

The California Legislature inits 1959 regular general session added Sections 1801 to 1812.7, both inclusive, to the California Civil Code under a chapter heading entitled: "Retail Installment Sales."

The provisions of this Act do not apply to a sale of $50.00 or under, nor do they apply to a sale made principally for the purpose of resale.

Basic Definitions

There are two types of installment sales covered by this Act:

A "retail installment contract" is any retail sale of goods or services in which the price is payarble in installments and is greater than it woulcl be if the goods or services were paid for in cash at the time of sale. (Installment sales are exempted from the Act when the cash price is less than $50.00 and when no security interest is retained, except that the limitations on service charges apply.)

A "retail installment account" is a continuing arrangenrelit whereby the buyer of goods or services at retail agrees to pay to the seller his outstanding balance in installments plus a service charge expressed as a percent of the periodic balances to accrue from time to time.

It is imnlaterial in either case whether or not tlle scllcl retains a security interest in the goods or takes other security.

"Goods" means chattels bought for use primarily for personal, family or household purposes except motor vehicles.

"Services" means labor or services "for other than a commercial or business use." It includes services rendered in connection with the sale or repair of goods or the repair of rnotor vehicles or rendered in connection with the improvement of reai property. Services oI physicians ancl dentists are excepted.

In general, the Act applies to any consumer installment sale where there is a carrying charge. It does not apply to an ordinary sale on open accoullt nrerely because the invoice provides for interest on overdue accounts or for a discount if paid within a certain time, if the price is the same as it would be if the sale was for cash.

Retail Installment Contract

A retail installment contract must be dated and in writing and the printed portion thereof must be in at least 8-point type.

Each retail installment contract must contain the following notice:

"NOTICE TO TH,E BUYER: (l) Do not sign this agreement before you read it or if it contains any blank space. (2) You are entitled to a completely 6lled in copy of this agreement. (3) Under the law you have the right to pay ofi in advance the full amount due and under certain conditions to obtain a partial refund of the service charge."

There is the specific provision that the seller shall not obtain the signature of the buyer to a contract when it contains blank spaces to be filled in after it has been signed.

There is a maximum service charge on Retail Installment Contracts of 5/6ths of l/o a month for a purchase of $1,000 or less and the service charge on a larger purchase would remain at 5/6ths o{ l/o on the first $1,000 and drop to 2/3rds of 1/o for any amount above that.

Retail Installment Account

In the case of a retail installment account or "revolving cledit account" the law provides that in any application the statement that:

"Service charges not in excess of those permitted by law will be charged on the outstan-ding balances from month to mouth," is re' quired to be printed in type no smaller than 8-point.

The maximum service charge is at 1%% a month for up to $1,000 and.7/o on amounts above that.

Before a seller can make a service cirarge for this type of a.ccount Ire must have displayed prominently in his main place of business and in each branch a statement outlining the service charge rates.

Any time a seiler accepts the account of a buyer he shall coufirnt this fact in writing, which confirmation must contain a cleat atrd understandable statement of the rates of service charge which will be collected-and shall also contain a statement that the buyer may at any time pay his eutire balance.

Each customer shall be provided with a rnonthly statement (which need not be a calendar month), setting forth the following: l. The balance due at the beginning of the monthly period.

2. 'the dollar amount of cach l>urchase during the monthly period