CHAPTER 605. CONSUMER REBATE RESPONSE AND GRACE PERIOD FOR CORRECTIONS
BUSINESS AND COMMERCE CODE
TITLE 12. RIGHTS AND DUTIES OF CONSUMERS AND MERCHANTS
CHAPTER 605. CONSUMER REBATE RESPONSE AND GRACE PERIOD FOR
CORRECTIONS
Sec. 605.001. DEFINITIONS. In this chapter:
(1) "Consumer" means a person who obtains a product or service
that is to be used primarily for personal, business, family, or
household purposes.
(2) "Consumer rebate" means an offer to a consumer of cash,
credit, or credit toward future purchases that is made in
connection with a sale of a good or service to the consumer, is
in an amount of $10 or more, and requires the consumer to mail or
electronically submit a rebate request after the sale is
completed. The term does not include:
(A) any promotion or incentive that is offered by a manufacturer
to another company or organization that is not the consumer to
help promote or place the product or service;
(B) a rebate that is redeemed at the time of purchase;
(C) any discount, cash, credit, or credit toward a future
purchase that is automatically provided to a consumer without the
need to submit a request for redemption;
(D) a rebate that is applied to a bill that the consumer becomes
obligated to pay after the date the purchase is made;
(E) any refund that may be given to a consumer in accordance
with a manufacturer or retailer's return, guarantee, adjustment,
or warranty policies; or
(F) any manufacturer or retailer's frequent shopper customer
reward program.
(3) "Properly completed" means that the consumer submitted the
required information and documentation in the manner and by the
deadline specified in the rebate offer and otherwise satisfied
the terms and conditions of the rebate offer.
Added by Acts 2009, 81st Leg., R.S., Ch.
87, Sec. 4.012(a), eff. September 1, 2009.
Sec. 605.002. REBATE RESPONSE PERIOD; GRACE PERIOD FOR
CORRECTIONS. (a) Except as provided by Subsection (b), a
person, including a manufacturer or retailer, who offers a rebate
shall mail the amount of the rebate to the consumer or
electronically pay the consumer the amount of the rebate within
the time period promised in the rebate information provided to
the consumer or, if silent, not later than the 30th day after the
date the person receives a properly completed rebate request.
(b) If a consumer rebate offer is contingent on the consumer
continuing to purchase a service for a minimum length of time,
the time period in Subsection (a) begins on the later of:
(1) the date the consumer submits the rebate request; or
(2) the expiration date of the service period.
(c) If the person offering the rebate receives a rebate request
that is timely submitted but not properly completed, the person
shall:
(1) process the rebate in the manner provided by Subsection (a)
as if the rebate request were properly completed; or
(2) notify the consumer, not later than the date specified by
Subsection (a), of the reasons that the rebate request is not
properly completed and the consumer's right to correct the
deficiency within 30 days after the date of the notification.
(d) The notification under Subsection (c)(2) must be by mail,
except that notification may be by e-mail if the consumer has
agreed to be notified by e-mail.
(e) If the consumer corrects the deficiency stated in the
notification under Subsection (c)(2) before the 31st day after
the postmark date of the person's mailed notification to the
consumer or the date the e-mail is received, if applicable, the
person shall process the rebate in the manner provided by
Subsection (a) for a properly completed request.
(f) This section does not impose any obligation on a person to
pay a rebate to any consumer who is not eligible under the terms
and conditions of the rebate offer or has not satisfied all of
the terms and conditions of the rebate offer, if the person
offering the rebate has complied with Subsections (c) and (d).
(g) A person offering a rebate has the right to reject a rebate
request from a consumer who the person determines:
(1) is attempting to commit fraud;
(2) has already received the offered rebate; or
(3) is submitting proof of purchase that is not legitimate.
(h) A person making a determination under Subsection (g) shall
notify the consumer within the time period provided by Subsection
(c) that the person is considering rejecting, or has rejected,
the rebate request and shall instruct the consumer of any actions
that the consumer may take to cure the deficiency.
(i) If the person offering a rebate erroneously rejects a
properly completed rebate request, the person shall pay the
consumer as soon as practicable, but not later than 30 days,
after the date the person learns of the error.
Added by Acts 2009, 81st Leg., R.S., Ch.
87, Sec. 4.012(a), eff. September 1, 2009.
Sec. 605.003. USE OF INDEPENDENT ENTITY TO PROCESS REBATE. For
the purposes of this chapter, if a person who offers a rebate
uses an independent entity to process the rebate, an act of the
entity is considered to be an act of the person and receipt of a
rebate request by the entity is considered receipt of the request
by the person.
Added by Acts 2009, 81st Leg., R.S., Ch.
87, Sec. 4.012(a), eff. September 1, 2009.
Sec. 605.004. DECEPTIVE TRADE PRACTICE. (a) A violation of
this chapter is a deceptive trade practice in addition to the
practices described by Subchapter E, Chapter 17, and is
actionable by a consumer under that subchapter. Claims related
to more than one consumer may not be joined in a single action
brought for an alleged violation of this chapter, unless all
parties agree.
(b) A violation of this chapter is subject to an action by the
office of the attorney general as provided by Section 17.46(a).
Added by Acts 2009, 81st Leg., R.S., Ch.
87, Sec. 4.012(a), eff. September 1, 2009.
Sec. 605.005. CERTIFICATION AS CLASS ACTION PROHIBITED. A court
may not certify an action brought under this chapter as a class
action.
Added by Acts 2009, 81st Leg., R.S., Ch.
87, Sec. 4.012(a), eff. September 1, 2009.