1 | 1 | | 81R7303 JE-D |
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2 | 2 | | By: Davis of Dallas H.B. No. 3167 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to electronic contracts and solicitations offered to |
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8 | 8 | | consumers for goods or services. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | SECTION 1. Subtitle B, Title 10, Business & Commerce Code, |
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11 | 11 | | as effective April 1, 2009, is amended by adding Chapter 327 to read |
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12 | 12 | | as follows: |
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13 | 13 | | CHAPTER 327. ELECTRONIC CONTRACTS AND SOLICITATIONS |
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14 | 14 | | Sec. 327.001. DEFINITIONS. In this chapter: |
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15 | 15 | | (1) "Consumer" means a person who seeks or obtains a |
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16 | 16 | | good or service that is to be used primarily for personal, family, |
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17 | 17 | | or household purposes. |
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18 | 18 | | (2) "Electronic" has the meaning assigned by Section |
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19 | 19 | | 322.002. |
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20 | 20 | | (3) "Electronic contract" means a legal obligation |
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21 | 21 | | resulting from the parties' agreement as affected by applicable law |
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22 | 22 | | that is entered into by electronic means. |
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23 | 23 | | Sec. 327.002. REQUIREMENTS OF ELECTRONIC CONTRACTS AND |
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24 | 24 | | SOLICITATIONS. To the extent allowed by federal law, an electronic |
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25 | 25 | | contract or solicitation offered to a consumer for the purchase of a |
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26 | 26 | | good or service must: |
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27 | 27 | | (1) be in plain language; |
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28 | 28 | | (2) be in a readable and understandable format; and |
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29 | 29 | | (3) include, in a conspicuous format distinguishable |
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30 | 30 | | from other information, important terms of the contract, including |
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31 | 31 | | any of the following information, as applicable: |
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32 | 32 | | (A) customer service contact information; |
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33 | 33 | | (B) pricing information; |
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34 | 34 | | (C) cancellation policies; |
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35 | 35 | | (D) interest charged; |
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36 | 36 | | (E) date on which the trial period expires; and |
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37 | 37 | | (F) penalties or fees imposed. |
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38 | 38 | | Sec. 327.003. ELECTRONIC CANCELLATION OF SERVICES. To the |
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39 | 39 | | extent allowed by federal law, if a person offers a consumer the |
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40 | 40 | | option of entering into an electronic contract for services that |
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41 | 41 | | contains a provision that allows the consumer the option to cancel |
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42 | 42 | | the services under the contract, the person offering the electronic |
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43 | 43 | | contract must also provide the consumer with the ability to |
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44 | 44 | | electronically cancel services under the contract. |
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45 | 45 | | Sec. 327.004. CONTRACT VOID. An electronic contract for |
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46 | 46 | | services that cannot be canceled electronically or that violates |
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47 | 47 | | Section 327.002 is void. |
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48 | 48 | | Sec. 327.005. PRIVATE RIGHT OF ACTION. (a) A consumer |
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49 | 49 | | injured by a violation of this chapter may bring an action against a |
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50 | 50 | | person who commits the violation to recover the greater of: |
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51 | 51 | | (1) actual damages arising from the violation; or |
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52 | 52 | | (2) $1,000. |
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53 | 53 | | (b) A person who prevails in an action brought under this |
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54 | 54 | | section is entitled to recover reasonable attorney's fees and court |
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55 | 55 | | costs. |
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56 | 56 | | SECTION 2. The change in law made by this Act applies only |
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57 | 57 | | to a solicitation or contract made, entered into, or renewed on or |
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58 | 58 | | after the effective date of this Act. A solicitation or contract |
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59 | 59 | | made, entered into, or renewed before the effective date of this Act |
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60 | 60 | | is governed by the law in effect when the solicitation or contract |
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61 | 61 | | was made, entered into, or renewed, and the former law is continued |
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62 | 62 | | in effect for that purpose. |
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63 | 63 | | SECTION 3. This Act takes effect September 1, 2009. |
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