Consumer Law Flashcards
(108 cards)
1
Q
Steps to Resoving Merchant Disputes
A
- Contact the merchant.
- Send a letter by registered mail.
- File a complaint with the BBB and/or the Texas AG’s Office and send a copy to the merchant.
- Mediate the dispute with a third party.
- File a complaint in small claims court.
2
Q
What do you try first to resolve a merchant dispute?
A
Talking
3
Q
When talking to the merchant about the dispute what should you tell?
A
- what happened
- why you are unhappy
- what resolution you prefer
4
Q
When you send a letter about a merchant dispute you should send it________________.
A
by registered maill, RRR
(return receipt requested)
5
Q
Send _____________, not originals, of any documentation.
A
copies
6
Q
In the letter for merchant dispute you should write________________________________.
A
- what happened
- why you are unhappy
- what you want
- what your next step will be
7
Q
When you file a letter with the BBB you should also ___________________________________.
A
send a copy to the merchant
8
Q
BBB
A
Better Business Bureau
9
Q
BBB of Houston
address
A
1333 W. Loop South, Ste 1200
Houston TX 77027
bbbhou.org
10
Q
AG’s office: file a complaint with letter and copy to merchant
A
AG= Attorney General AG of Texas is Greg Abbott Consumer Protection Division PO Box 12548 Austin, TX. 78711-2548 Oag.state.tx.us/consumer/index.shtml
11
Q
__________________ is a less expensive and more effective alternative to going to court.
A
Mediation
12
Q
___________________________ provides free mediations by trained volunteer mediators.
A
Dispute Resolution Center
13
Q
Dispute Resolution Center
A
provides free mediations by trained volunteer mediators.
co.harris.tx.us/DRC/
713-755-8274
14
Q
In Small Claims Court you ___________ need a lawyer.
A
do not
15
Q
____________ will provide a petition for you to complete.
A
Clerk
16
Q
In small claims court you do not need a lawyer and a clerk will provide a ______________ for you to complete.
A
petition
17
Q
For small claims court you should file in the _______ nearest the business or person you are suing.
A
JP court
(justice of the peace)
18
Q
The JP will listen to ____________ and make a decision.
A
both sides
19
Q
If you are awarded a judgment, it is final if not _________within _______days.
A
- appealed
- 10
20
Q
If not paid promptly, the court can prepare an ________________________, which then becomes a judgment lien on any non-expempt real estate that the defendant owns in the county where the lien is filed.
A
abstract of judgment
21
Q
abstract of judgment
A
A copy or summary of a judgment that, when filed with the appropriate public office, creates a lient on the judgment debtor’s nonexpempt property.
22
Q
What happens after an abstract of judgment?
A
You can get a levy of exectution that requires the court to issue a writ of execution and a constable will serve the writ on the defendant. It says that if the defendant doesn’t pay, the constable must seize and sell at auction enough personal property to satisfy the judgment.
23
Q
If an abstract of judgment does not work, you can get a __________________________ that requires the court to issue a _______________ and a ________________will serve the ______________on the defendant.
A
- levy of execution
- writ of execution
- constable
- writ of execution
24
Q
The writ of execution says ______________
___________________________________
___________________________________.
A
that if the defendant doesn’t pay, the constable must seize and sell at auction enough personal property to satisfy the judgment.
25
A \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_is a guarantee that a buyer will get what s/he paid for and expected to get.
warranty
26
A warranty is\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_.
a guarantee that a buyer will get what s/he paid for and expected to get.
27
Most people think of a ________________ as a booklet that comes with a product, but there are other kinds of \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_, too.
warranty
warranties
28
What are three Kinds of Warranties
1. Express Warranties
2. Implied Warranties
3. Special Statutory Warranties
29
W
30
Almost anything that is said about the product or service that the buyer relies on when s/he buys it is an \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_.
express warranty
31
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ can be written, but also can be anything the seller says about the product/service.
Express warranties
32
What are Implied Warranties?
- something the law imposes automatically. It doesn't need to be written, spoken, or agreed upon.
- Even if the seller says nothing, implied warranties still exist.
- In fact, written warranties take away consumer rights that are implied.
33
An\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ is something the law imposes automatically. It doesn't need to be written, spoken, or agreed upon.
implied warranty
34
Even if the seller says nothing, ___________________________ still exist.
implied warranties
35
Name 5 kinds of implied warranties
1. Warranty of title
2. Warranty of merchantability
3. Warranty of habitability
4. Warranty of fitness for a paticular purpose
5. Warranty of good and workmanlike services
36
What is warranty of title?
An implied warranty that says says buyer has the right to take goods free of claim from anyone else.
37
What is warranty of merchantability?
An implied warranty that says the thing is fit for the ordinary purpose for which goods of that kind are used.
38
What is warranty of habitability?
It is an implied warranty in a lease that the place must be suitable for living.
39
What is warranty of fitness for a particular purpose?
It is an implied warranty that says if the seller knows that the buyer intents to use the goods in some specific way, the goods must be fit for that purpose, too.
40
What is a warranty of good and workmanlike services?
It is an implied warranty that says services must be rendered in a competent, effective way so that the consumer gets the service for which s/he bargained.
41
What are:
Warranties of title
Warranties of merchantability
Warranties of habitability
Warraties of fitness for a particular purpose
Warranty of good and workmanlike services
Implied Warranties
42
A \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_says the buyer has the right to take goods free of claim from anyone else.
Warranty of title
43
A \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_says the thing is fit for the ordinary purpose for which goods of that kind are used.
warranty of merchantability
44
A \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_says in a lease, the place must be suitable for living.
warranty of habitability
45
A _______________________________ says if the seller knows the buyer intends to use the goods in some specific way, the goods must be fit for that purpose, too.
warranty of fitness for a particular purpose
46
A ____________________________________ says that services must be rendered in a competent, effective way so that the consumer gets the service for which s/he bargained.
warranty of good and workmanlike services
47
What is a Special Statutory Warranty
- Warranties that are written into law.
- The Texas Lemon Law is not a traditional warranty, but it works the same way. It applies to the sale of new cars and protects consumers who buy "lemons"
48
What is the Texas Lemon Law?
If the seller is unable, after a "reasonable number of attempts," to repair a defect that either creates a safety hazard or significantly reduces the market value or use of the car, then the seller must either replace the car or accept the return of the car and refund the purchase price (less a "use" fee).
49
DTPA
Deceptive Trade Practices Act
50
What is the Deceptive Trade Practices Act?
(DTPA)
it gives consumers a legal means against sellers for false, misleading, and deceptive trade practices.
It is the most powerful weapon for Texas consumers.
51
If someone violates the DTPA, he may be liable for up to \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_the damages plus the consumer's court costs and fees.
three times
52
If someone violates the DTPA, he may be liable for up to _______________________ the damages plus the consumer's \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_.
1. three times
2. court costs and attorney fees
53
The DTPA lists ________________ that are considered false, misleading or deceptive.
25 things
54
The DTPA lists 25 things are considered \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_.
false, misleading or deceptive.
55
List Common Violations from the DTPA Laundry List
- Passing off goods as those of another;
- Causing confusion or misunderstanding as to the source, sponsorship, approval, or certification of goods or services.
- Causing misunderstanding as to the affiliation, connection with, or certification by, another.
- Deceptive representations of geographic origin in connection w/goods/services
- Representing that goods are original or new if they are not;
- Saying goods/services are of a particular standard, grade, model, if they aren't
- Disparaging the goods, services, or business of another by false or misleading representation of facts;
- Advertising goods or services with the intent not to sell them as advertised;
- Advertising goods/services with intent not to supply a reasonably expected public demand, unless the advertisements disclosed a limitation of quantity;
- Making false statements about the reasons for price reductions;
- Reprsenting that an agreement confers rights or obligations which it does not have, or that are probhibited by law
- Knowingly making false statements of fact concerning the need for parts, replacement, or repair service;
- Misrepresenting the authority of a salesman, representative, or agent to negotiate the final terms of a consumer transaction;
- Disconnecting, turning back, or resetting the odometer of a vehicle to reduce the number of miles on the odometer gauge
56
Who is protected by the DTPA?
Consumers
57
Who are "consumers" and what is the exception?
any individual, partnership, corporation, or governmental entity who seeks to acquire by purchase or lease any goods, services, or real estate
-exception: businesses with more than 25 million in assets
58
Enforcement of DTPA?
You can file in court (usually small claims' court, if the AIC (amount in controversy) is under 10K) but you must first give written notice to the defendant at least 60 days before you can file.
59
How long do you have to cancel the contract to purchase a car after you sign it?
NO TIME. this does not exist
60
When you buy a car, what is the "buyer's remorse/contract canceling" policy?
THere is NOT one.
61
If you buy a used car "as is," but get a service contract at the same time, the "as is" status is ________________ and the dealer and the service contract provider must repair the vehicle.
void
62
If you buy a used car "as is," with no service contract, it's a lot more difficult.
If you buy a used car "as is," with no service contract, it's a lot more difficult.
I don't know how to phrase that into a question.
63
Almost all the laws regarding sale of vehicles __________________ for individuals as they are for dealers.
are the same
64
RIC
Retail Installment Contract
65
Temporary Delivery Agreement
Dealer let's you drive home without completion of financing by signing the TDA, Dealer says it's for convenience, bad for consumer.
If lender finds someone to buy RIC, all ends well, if not, they ask consumer to bring car back.
66
TDA
Temporary Delivery Agreement
67
In a TDA, what happens to your trade-in?
Depends on terms of TDA, some consumers find that you can't get new car OR the old car back (it has already been sold).
Dealer may try to get you to sign second contract with less favorable terms.
68
Retail Installment Contract
RIC
The dealer offers to sell your RIC to different lenders and will choose the lender that gives the most money for the dealer, not the best loan terms for the buyer.
Potential lenders are not bound to you until they agree to buy the RIC.
69
Temporary Delivery Agreement
TDA
Dealer lets you drive car home without completeing the financing transaction, by signing the TDA.
Dealers say it's a convenience to buyers.
Consumer groups say it's because the dealer is afraid you'll find a better deal.
70
If a repair shop deos bad work and doesn't fix the problem, should you stop payment on the check? Why or why not?
No, you should not stop payment. If you do, the shop can repossess your car.
71
What should you do if a car shop does bad work that doesn't fix the problem on your car?
- It's hard to prove that the shop didn't properly perform the repairs.
- Best way is to take it to another shop right away for an inspection/written report of what needs to be done and the cost.
- Keep any parts involved.
72
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ is the right of a seller, bank, or finance company to take back possesion of an item after a buyer fails to timely pay an obligation for the item.
Repossesion
73
Repossesion is \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_.
the right of a seller, bank, or finance company to take back possesion of an item after a buyer fails to timely pay an obligation for the item.
74
Is court approval required for repossesion?
No. If a consumer misses a payment, the creditor has the right to take possesion of the collateral without going to court, if it can be done without a breach of peace.
75
What is Breach of the Peace synonymous with?
disorderly conduct
76
Name examples of Breach of the Peace in Texas in regards to repossesion.
- physically taking the keys from the debtor
- fighting w/debtor
- breaking and entering a garage
- picking a lock to gain entry
- causing unreasonable damage to property
77
What can a debtor do if there is a breach of the peace?
if debtor can prove that the creditor breached the peace, the debtor may be able to invalidate the repossesion.
78
Is notice before repossesion required?
no
79
Can you get your car back after repossesion?
Maybe. The debtor may "redeem" the repossesion by tendering the entire balance due, plus repo charges, attorney fees, and other foreclosure cots.
This redemption must occur before the creditor has disposed of the vehicle.
80
Do you still owe the money after repossesion?
Yes. Repo has bad debtor consequences.
Creditor can sell the car, and the debtor is still liable for the difference.
Horrible blight on credit report.
81
If you are denied credit, the __________________________________ requires that a business give you notice of the reason for the denial of the credit.
Fair Credit Reporting
82
The ______________________________________ states that you may not be denied credit on the basis of gender, marital status, race, or age.
Equal Credit Opportunity Act
83
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_
limits times and manner in which a creditor or collection agency can contact you.
Texas Debt Collection Act & Federal Fair Debt Collection Practices Act
84
What time can creditors call you?
Not before 8 AM or after 9 PM
85
When you tell a creditor __________ to stop calling, they must stop.
in writing
86
Harrassing or abusive conduct, threats of violence or imprisonment, repeated calls or failure to ID agency, and profanity are all examples of \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_.
unlawful collection practices
87
Name some unlawful collection practices
Harrassing or abusive conduct
Threats of violence or imprisonment
Repeated calls or failure to ID agency
Profanity
88
What if debt collector sues?
You must file and answer to prevent default judgment.
If they get a judgment, they may be able to take money from your bank account.
NO GARNISHMENT (wage withholding) for consumer debt, only for IRS, child support, student loans.
89
What are payday loans?
Loan in which the lender advances cash in exchange for a personal check or authorization to debit bank account for the amount of the loan plus a fee for making the loan.
The payday lender agrees on a date for the debit or cashing of check.
90
Under Texas law, payday loans can have interest rates over \_\_\_\_\_\_\_\_\_\_\_\_\_\_, and still be lawful.
500%
91
What are the two kinds of insurance?
Property and liability
92
What does property insurance cover?
Property insurance covers risk of loss to property (reimburses for value of damaged property)
93
What does liability insurance cover?
Liability insurance covers damages you cause to another's property.
94
Typically, with a \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_, there is a requirement that the insurance company will defend and indemnify you for your liability arising out of claims made against you that are covered by the policy.
liability insurance policy
95
Typically, with a liability insurance policy, there is a requirement that the insurance company will _______________________________ you for your liability arising out of claims made against you that are covered by the policy.
defend and indemnify
96
What is PIP?
Personal Injury Protection
97
What does PIP (personal injury protection) cover?
Covers you and household members, as well as authorized drivers/passengers, for injuries sustained in an accident, regardless of fault.
Texas requires PIP to be included in all policies, but insurers often talk people into rejecting it. Bad move.
98
UM?
Uninsured/Underinsured Motorist
99
What is UM (uninsured/underinsured motorist) coverage?
It is included in auto insurance. Compensates you for injuries in an accident with a UM, payable as it would have been paid if the UM had insurance.
It can be waived. bad move.
100
Texas imposes a _________________________ on every insurance company in terms of how it deals with its insureds.
duty of good faith
101
The duty of good faith arises out of the _____________ of insurance between the insured and the insurance carrier.
contract
102
When the duty of good faith is not upheld by the insurance carrier it is bad faith. What do you do about bad faith?
If a carrier unreasonably witholds benefits of a policy, you are entitled to pursue both a breach of contract action and a tort action, which lets you seek damages resulting from the bad faith, like lost wages and emotional distress.
103
ECOA
Equal Credit Opportunity Act
104
Equal Credit Opportunity Act
ECOA
105
Texas Debt Collection Act & Federal Fair Debt Collection Practices Act
limit times and manner in which a creditor or collection agency can contact you
106
What are the two acts that limit the times and manner in which a creditor or collection agency can contact you?
Texas Debt Collection Act & Federal Fair Debt Collection Practices Act
107
Breach of peace is synonomous with
disorderly conduct
108
