The Texas DTPA, aka the Texas Deceptive Trade Practices Act, is the consumer law of Texas and many businesses both large and small find themselves involved in a Texas DTPA claim at some point. The DTPA is fundamentally a very simple question: Did you misrepresent your goods or services? Many people perceive it as requiring intent like that found in fraud. However, this is not true.
In the Texas DTPA, you not only do not have to intend the misrepresentation, the DTPA is actually designed to capture your acts or practices that represent that your goods or services have characteristics or qualities they do not have.
For instance, if you are a pest control service and you sell a termite treatment and you represent that the termite treatment will control or eliminate the termite infestation and it turns out some months later, the termites are still there, you can be sued under the Texas DTPA.
Small Businesses and insurance companies in Texas should be aware of the potential dangers of the Texas DTPA as well as the various defenses available.