The California General Assembly passed a piece of legislation last week that would offer a contract cancellation option to consumers for a three-day cooling off period for used vehicles.

The new Car Buyer’s Bill of Rights says that dealers may charge up to $250 to a customer who wishes to purchase the right to return period for used vehicles, according to AutoRemarketing.com.

The proviso applies only to vehicles less than $40,000. Also, the buyer must return the vehicle and all contracts pertaining to the sale in the same condition as they were when purchased.

Dealers can also tack on a restocking fee of $350 to $500 against which the buyer may credit the contract cancellation price, if any. Any damage, liens or tickets during the cooling-off period are the buyer’s responsibility. The cooling-off period is only available to consumers once every 30 days to prevent repeated purchases and returns.

For contracts of 60 months, dealer finance income is held at 2.5 percent while limited to less than 2 percent for anything more than 60 months.

When similar legislation passed last year, Gov. Schwarzenegger opposed it. It is possible for him to veto this year’s bill.