Bill Text: TX HB1440 | 2011-2012 | 82nd Legislature | Introduced
Bill Title: Relating to free trial offers on consumer goods and services.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2011-03-21 - Left pending in committee [HB1440 Detail]
Download: Texas-2011-HB1440-Introduced.html
82R4900 KFF-D | ||
By: Davis of Dallas | H.B. No. 1440 |
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relating to free trial offers on consumer goods and services. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Title 12, Business & Commerce Code, is amended by | ||
adding Chapter 606 to read as follows: | ||
CHAPTER 606. FREE TRIAL OFFERS OF CONSUMER GOODS OR SERVICES | ||
Sec. 606.001. DEFINITION. In this chapter, "consumer" | ||
means a person who obtains a good or service that is to be used | ||
primarily for personal, family, or household purposes. | ||
Sec. 606.002. REQUIREMENTS AND PROHIBITIONS RELATING TO | ||
TRIAL OFFERS OF GOODS OR SERVICES. (a) This section applies only to | ||
a person that offers a consumer free goods or services on a trial | ||
basis and that, at the end of the free trial period, charges the | ||
consumer a fee, including a periodic fee, for the goods or services. | ||
(b) A person to whom this section applies must send to a | ||
consumer who accepts the goods or services a form that the consumer | ||
may use to indicate the consumer's agreement to pay the fee after | ||
the end of the free trial period. | ||
(c) A person to whom this section applies may not charge a | ||
fee for the goods or services after the end of the free trial period | ||
if the person does not receive a signed form from the consumer in | ||
which the consumer agrees to pay the fee after the end of the free | ||
trial period. | ||
(d) A violation of this section is a deceptive trade | ||
practice in addition to the practices described by Subchapter E, | ||
Chapter 17, and is actionable under that subchapter. | ||
SECTION 2. Chapter 606, Business & Commerce Code, as added | ||
by this Act, applies only to an offer to provide goods and services | ||
that is made on or after the effective date of this Act. | ||
SECTION 3. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2011. |