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Don't let a DTPA notice letter fly in under your radar
The Texas Deceptive Trade Practices/Consumer Protection Act (DTPA) is a statute that provides consumers with the power to fight certain unfair business practices. Under the right conditions, the consumer can be awarded treble damages, damages for mental anguish, and attorney’s fees. In these litigious times, every business person needs to have a working knowledge of the DTPA.
As a prerequisite to filing a lawsuit asserting claims under the DTPA, a consumer must give the business written notice 60 days prior to filing a civil lawsuit. This often comes in the form of a letter referencing the Texas Business & Commerce Code, abbreviated as Tex. Bus. & Com. Code. There is no requirement that the letter must be captioned as a DTPA letter or that the letter be drafted by an attorney. For these reasons, a DTPA letter can sometimes slip by unnoticed. This can be problematic, because the letter itself triggers certain deadlines that are vital to protecting your interests.
Because of the serious consequences of ignoring a DTPA letter, you must take immediate action. Contact your errors-and-omissions-insurance carrier. Often, they will place you in contact with an attorney who handles claims against real estate professionals. You will want an attorney who is familiar with DTPA claims to respond to the letter on your behalf, no matter how groundless the claim. A DTPA letter is the clearest indicator that a lawsuit is to follow in approximately 60 days, and your response letter will likely be evidence at trial.
—GLP
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