523G.9 - COMPLIANCE WITH OTHER LAWS, VIOLATIONS AND PENALTIES.
523G.9 COMPLIANCE WITH OTHER LAWS, VIOLATIONS AND PENALTIES. 1. The provisions of this chapter are not exclusive and do not relieve persons or a contract from compliance with other applicable law. 2. A contract which fails to comply with the applicable provisions of this chapter is unenforceable against the customer as contrary to public policy, unless the invention developer proves all of the following: a. The noncompliance resulted from an error. b. The invention developer followed reasonable procedures adopted to avoid such errors. c. The invention developer promptly made an appropriate correction upon discovery of the noncompliance. 3. A contract executed by an invention developer is unenforceable against the customer, if the invention developer used deceptive practices, with an intent to cause reliance, regardless of whether the customer was actually misled, deceived, or damaged. 4. A provision of a contract which waives a provision of this chapter is contrary to public policy and is void and unenforceable. 5. A person may bring a civil action against an invention developer that uses a deceptive practice. The person may be awarded damages together with costs and disbursements, including reasonable attorney fees. The court in its discretion may increase the award of damages to an amount not to exceed three times the damages or two thousand five hundred dollars, whichever is greater. 6. Failure to make an initial disclosure required by section 523G.4 shall render any contract subsequently entered into between the customer and the invention developer voidable by the customer. 7. A violation of this chapter or a rule adopted by the commissioner pursuant to this chapter is a violation of section 714.16. The remedies and penalties provided by section 714.16, including but not limited to provisions relating to injunctive relief and penalties, apply to violations of this chapter.
Section History: Recent Form 92 Acts, ch 1114, § 10