Consumer Law

Question 1

Debt Collection

Answer 1

Debt collector –> “Consumer debts”

Exclusive List (THUF)

Civil Remedies

Remedies under DTPA (violation is a deceptive trade practice)

Question 2

DTPA Introduction

Answer 2

The Texas Deceptive Trade Practices Act (“DTPA”) shall be liberally construed to protect consumers and generally may not be waived. A “consumer” is one that seeks or acquires by purchase or lease any goods or services.

Question 3

Exemptions to the DTPA

Answer 3

Business Consumer - Assets $25 million or more. Defendant has the burden to prove the exception as an affirmative defense.

Professional Services

Written Contracts

Residence

$500,000 or more

Question 4

4 Claims under the DTPA

Answer 4

Laundry List

Breach of express or implied warranty

Unconscionable actions

Violations of 541 of the Insurance Code

Question 5

Laundry List

Answer 5

The DTPA includes a list of more than 30 acts and practice that are deemed false, deceptive of misleading under the Act. This list is the “laundry list.” Any misrepresentation is actionable unless it is mere opinion, or puffing.

Question 6

Unconscionability

Answer 6

An act or practice that takes advantage of a consumer to a grossly unfair degree. Determined at the time of the transaction.

“Additional facts would be necessary.”

Question 7

Breach of warranty

Answer 7

Any breach of warranty is actionable by a consumer under the DTPA. But the DTPA does not create any warranties. The warranty must exist and be actionable outside the DTPA.

Question 8

Chapter 541.

Answer 8

The fourth claim that may be brought under the DTPA is an act or practice in violation of the 541. This claim is similar to breach of warranty in that it must be established outside the DTPA. Pre-suit notice is required.