NCJ Number
68611
Journal
Baylor Law Review Volume: 32 Issue: 1 Dated: (WINTER 1980) Pages: 51-87
Date Published
1980
Length
37 pages
Annotation
THE 1979 AMENDMENTS TO THE TEXAS DECEPTIVE TRADE PRACTICES-CONSUMER PROTECTION ACT ARE EXAMINED, AND POTENTIAL PROBLEMS IN CONSTRUING THE NEW PROVISIONS ARE IDENTIFIED.
Abstract
PASSED IN 1973 IN RESPONSE TO THE INADEQUACY OF THE CONSUMERS' COMMON LAW REMEDIES, THE ACT INTRODUCED A STATUTORY SCHEME FOR THE RECOVERY OF PECUNIARY LOSS OCCURRING IN TRANSACTIONS BETWEEN CONSUMERS AND PRODUCERS OR SELLERS OF GOODS AND SERVICES. THE STATUTE AUTHORIZES PRIVATE LITIGANTS TO OBTAIN TREBLE DAMAGES AND ATTORNEYS' FEES. THE 1979 AMENDMENTS ARE DESIGNED TO CORRECT WHATEVER IMBALANCE EXISTS BETWEEN THE REMEDIAL AND PUNITIVE FUNCTIONS OF THE ACT. A CONSUMER'S CAUSE OF ACTION FOR DECEPTIVE TRADE PRACTICES HAS BEEN NARROWED SUBSTANTIALLY BY THE 1979 AMENDMENTS. SECTIONS WERE MODIFIED TO ELIMINATE THE PRIVATE CAUSE OF ACTION FOR VIOLATION OF THE OMNIBUS CLAUSE THAT PROHIBITS FALSE, MISLEADING, OR DECEPTIVE ACTS OR PRACTICES. AN ADDED SUBDIVISION IMPOSES A DUTY OF DISCLOSURE IN EVERY TRANSACTION INVOLVING GOODS OR SERVICES, REGARDLESS OF THE RELATIONSHIP BETWEEN THE PARTIES OR WHETHER THE INFORMATION WAS DISCOVERABLE BY THE EXERCISE OF ORDINARY CARE AND DILIGENCE BY THE CONSUMER. ANOTHER AMENDED SECTION PROVIDES A CAUSE OF ACTION TO A CONSUMER WHEN CONDUCT PROHIBITED BY THE ACT 'CONSTITUTES A PRODUCING CAUSE OF ACTUAL DAMAGES.' IN ORDER TO REDUCE UNFAIRLY HARSH RECOVERIES IN SUITS INVOLVING LARGE ACTUAL DAMAGES UNDER THE PROVISION FOR TREBLING OF DAMAGES, A COMPLICATED SCHEME OF MANDATORY AND DISCRETIONARY DAMAGES IS INSTITUTED IN THE 1979 AMENDMENTS. AMENDMENTS WERE ALSO ENACTED BEARING UPON DEFENSES AND LIMITATIONS ON DAMAGES. IN CONSTRUING THE 1979 AMENDMENTS, FULL EFFECT SHOULD BE GIVEN TO THE LEGISLATIVE DIRECTIVE THAT THE ACT BE LIBERALLY CONSTRUED TO PROMOTE ITS UNDERLYING PURPOSES. FOOTNOTES AND A COPY OF THE ACT ARE PROVIDED.