What is the Deceptive Trade Practices Act?

The Texas Deceptive Trade Practices-Consumer Protection Act (DTPA) became law in 1973. It protects consumers by prohibiting certain false, misleading, and  deceptive business and insurance practices, unconscionable actions, and breaches  of warranty.

The act is enforced by the Texas Attorney General, who can seek a court order  prohibiting further deceptive practices. A private citizen may also seek damages  for certain acts and practices listed in the DTPA.

What Does the DTPA Cover?

The DTPA covers most consumer transactions.

The act provides that "false, misleading, or deceptive acts or practices in  the conduct of any trade or commerce are hereby declared unlawful." This broad language allows the DTPA to include protection for everyone from individuals to  most large businesses.

The DTPA includes a "laundry list" of 25 prohibited practices. A consumer who  relied on one of these practices to their detriment may sue under the act.

A few examples of prohibited practices include: representing that goods are  original or new when they are actually deteriorated, reconditioned, reclaimed, used, or second-hand; knowingly making false or misleading statements of fact  concerning the need for parts, replacement, or repair service; and representing  that work or services have been performed on, or parts replaced in, goods when the work or services were not performed or the parts replaced.

I Think My Problem Is Covered By the DTPA. What Next?

You should first make a reasonable effort to have the violator correct the problem. Send a letter demanding correction of the problem. Explain exactly what the violator must do to satisfy you. Be as clear, specific, and factual as possible. Send the letter by certified mail, return receipt requested, and be  sure to keep a copy.

Give the person or business to whom you are complaining a reasonable amount  of time to make good. If they flatly turn you down or seem to be stringing you along, you may have to take legal action.

Do I Need a Lawyer?

Individuals (but not partnerships or corporations) may represent themselves  if they wish. For very small amounts of damages, it may be an option for you to file suit and represent yourself in small claims (Justice of the Peace) court.

In general, your suit must be filed within two years after the false,  misleading, or deceptive practice occurred. You MUST give written notice to the alleged violator before you file suit. The alleged violator then has 60 days to  respond with a settlement offer.

You should, however, strongly consider hiring an attorney to represent you because DTPA language and procedures are often complex and may be confusing.

What Can I Recover Under the DTPA?

First, the DTPA provides for recovery of economic damages. If a court finds  the wrongful conduct was "knowingly" committed, it may award up to three times the amount of economic damages, as well as damages for mental anguish. If the  act was committed "intentionally," the court may award up to three times the economic damages. if you prevail, you will be awarded court costs and attorney's fees.

Note that a consumer may face certain defenses and even be liable for certain  damages if he or she loses a DTPA lawsuit. If a court finds an action by a consumer was brought in bad faith or for the purpose of harassment, the  defendant may be awarded all attorney's fees necessary for defending the action  as well as court costs.