NC H226

Prohibits leasing, offering to lease, selling, or offering to sell any living cat or dog for personal, family, or household use if the agreement includes provisions allowing the pet to be used as security and repossessed based on payment defaults.

Establishes exemptions for purebred dogs leased for breeding purposes with a written agreement, animals used in shows/exhibitions/entertainment/racing, service dogs as defined by the Americans with Disabilities Act, and security or law enforcement dogs.

Violation of the prohibition is classified as a Class 2 misdemeanor and constitutes an unfair and deceptive trade practice under existing consumer protection law.

Any contract provision violating the prohibition is declared null and void, but the law does not prohibit purchasing pets through unsecured personal loans.

Effective December 1, 2023, applying to contracts entered into and offenses committed on or after that date.