Legal Definitions - cooling-off period

A cooling-off period is a period of time during which a person can cancel a purchase or take legal action without immediate consequences. Here are some examples:

1. When you sign a contract, there may be a cooling-off period during which you can change your mind and cancel the contract without penalty.
2. In some states, there is a cooling-off period between the filing of divorce papers and the divorce hearing, during which the couple can try to reconcile.
3. When a company files for registration of securities, there is usually a cooling-off period of at least 20 days before the registration becomes effective.
4. In labor disputes, there may be a statutory cooling-off period during which neither employees nor employers can take any action, such as strikes or lockouts.

These examples illustrate how a cooling-off period can provide a window of time for people to reconsider their decisions or try to resolve a dispute before taking irreversible actions.