WI AB742

Creates new Chapter 420 regulating lease-purchase agreements for personal property used for personal, family, or household purposes with initial terms of 4 months or less that automatically renew and permit the consumer to acquire ownership

Requires written agreements with mandatory disclosures including payment amounts and frequency, total payments to acquire ownership, cash-sale price, whether goods are new or used, early purchase option terms, and consumer liability limits for loss or damage

Prohibits agreement provisions including confessions of judgment, security interests in consumer property, wage assignments, waivers of claims or defenses, requirements to purchase insurance from the lessor, balloon payments, and multiple reinstatement fees

Grants consumers reinstatement rights after missed payments (5 days for monthly payments, 2 days for more frequent payments) and extended reinstatement periods of 21-30 days if goods are returned within 7 days of the renewal date

Establishes consumer remedies of actual damages or 25% of total payments (minimum $100, maximum $1,000) plus attorney fees and court costs, with a 1-year statute of limitations and defenses for unintentional errors or good faith compliance efforts