Deceptive Trade Practices in Texas

Texas has their “act” together when it comes to misleading,
deceptive or false business practices under the auspices of the Texas
Deceptive Trade Practices Consumer Protection Act (DPTA).

While the act may have a long name and even longer reputation, it
carries a clout on which Texas consumers can rely. Generally speaking,
the DPTA is rather controversial and is constantly bombarded with a
stream of legal interpretations and legislative changes, nonetheless it
still provides Texans with the security of knowing that businesses must
be accountable to them and adhere to ethical standards.

This particular act doesn’t just demand accountability for
individual consumers, it holds all companies and businesses up to
scrutiny and offers guidelines relating to fraud, breaches of warranty
and false statements. So if someone went to a grocery store and they
were misled by advertising about a product or bought an expensive
painting at an art gallery, and it was a fake, consumers may be
protected.

One of the reasons that the DTPA is so successful is because its
provisions are applicable to most businesses or entities that engage in
“any commerce or trade.” Of course this is also the reason why it gets
“interpreted” rather frequently. Without getting too complex and legal,
what the Act does is cover the sale, lease and distribution of just
about all goods and services. It does not, however, cover professional
advice. What that means is, if someone is asked for their professional
opinion – say a licensed antique dealer about the authenticity of a
painting – and their opinion turns out to be wrong, they can’t be held
liable for being mistaken (whether someone relied on that advice or
not).

Other terms in this Act make it illegal for any business or person
participating in “trade or commerce” (which is fairly straightforward)
to carry out “unconscionable conduct” (which isn’t that
straightforward). The unconscionable conduct provision has caused a lot
of grief over the years merely because of disputes over what that
phrase means. One favored reading is that this is an act of behavior
that takes advantage of a person in an unfair manner. Unfortunately,
lawyers could and have frequently driven a truck through the holes in
that definition.

Typically that particular definition has been used in court cases to
refer to making false statements about how a product was made or its
origin; misrepresenting the benefits of a product/service; passing off
used products as being new; misleading or false advertising and fibbing
about whether or not something needs parts or repairs. There are other
situations where the definition of unconscionable conduct applies, and
that is usually dictated by the facts of the case at hand; E.g. hiking
prices on goods after a disaster.

In cases where an individual feels they have been misled or
defrauded, it’s best to speak to an experienced attorney and discuss
the details of the case. Knowing what one’s rights are goes a long way
toward being an informed and aware consumer.

Gomez Law Group is a Dallas employment lawyer and Dallas business lawyer. To learn more, visit http://www.gomezlawyers.com.