Curry’s bill narrowing two big-dollar consumer law exemptions

The text as introduced · 568 words

89R15932 SCR-F

By: Curry
H.B. No. 4564

A BILL TO BE ENTITLED

AN ACT

relating to the investigation and enforcement of the Deceptive

Trade Practices-Consumer Protection Act.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Sections 17.49(f) and (g), Business & Commerce

Code, are amended to read as follows:

(f) A consumer may not bring an action under Section 17.50

for [ Nothing in the subchapter shall apply to ] a claim arising out

of a written contract if:

(1) the contract relates to a transaction, a project,

or a set of transactions related to the same project involving total

consideration by the consumer of more than $100,000;

(2) in negotiating the contract the consumer is

represented by legal counsel who is not directly or indirectly

identified, suggested, or selected by the defendant or an agent of

the defendant; and

(3) the contract does not involve the consumer's

residence.

(g) A consumer may not bring an [ Nothing in this subchapter

shall apply to a cause of ] action under Section 17.50 for a claim

arising from a transaction, a project, or a set of transactions

relating to the same project, involving total consideration by the

consumer of more than $500,000, other than a cause of action

involving a consumer's residence.

SECTION 2. Section 17.60, Business & Commerce Code, is

amended to read as follows:

Sec. 17.60. REPORTS AND EXAMINATIONS. (a) Whenever the

consumer protection division has reason to believe that a person is

engaging in, has engaged in, or is about to engage in any act or

practice declared to be unlawful by this subchapter, or when it

reasonably believes it to be in the public interest to conduct an

investigation to ascertain whether any person is engaging in, has

engaged in, or is about to engage in any such act or practice, an

authorized member of the division may:

(1) require the person to file on the prescribed forms

a statement or report in writing, under oath or otherwise, as to all

the facts and circumstances concerning the alleged violation and

such other data and information as the consumer protection division

deems necessary;

(2) examine under oath any person in connection with

this alleged violation;

(3) examine any merchandise or sample of merchandise

deemed necessary and proper; and

(4) pursuant to an order of the appropriate court,

impound any sample of merchandise that is produced in accordance

with this subchapter and retain it in the possession of the division

until the completion of all proceedings in connection with which

the merchandise is produced.

(b) Unless ordered by a court for good cause, no sworn

testimony made under this section may be disclosed to any person

other than an authorized employee of the office of the attorney

general without the consent of the person who made the testimony.

The office of the attorney general shall prescribe reasonable terms

and conditions allowing for the disclosure of the sworn testimony

to an authorized representative of that person. The office of the

attorney general may use the sworn testimony as it determines

necessary in the enforcement of this subchapter, including

presentation before any court. Any testimony that contains trade

secrets may not be disclosed except with the approval of the court

in which the action is pending after adequate notice to the person

furnishing the material.

SECTION 3. This Act takes effect September 1, 2025.