A Texas homeowner hires a contractor to remodel a kitchen. The contractor uses substandard materials but charges premium prices. The homeowner sues under the DTPA. The contractor argues that since the dispute involves construction, the Texas Residential Construction Liability Act (RCLA) applies instead of the DTPA. Under Texas law, what is the relationship between these two statutes?
Correct Answer
C) The homeowner must comply with the RCLA notice requirements before pursuing a DTPA claim for construction defects, as the RCLA applies in addition to the DTPA
Under Texas Property Code Chapter 27 (RCLA), homeowners must comply with the RCLA's notice and inspection requirements before pursuing any action (including DTPA claims) arising from residential construction defects. The RCLA does not eliminate DTPA claims but imposes additional pre-suit procedures. The RCLA and DTPA coexist, with the RCLA's procedural requirements applying to construction-related claims.
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Previous Question
A Texas license holder receives a 60-day DTPA demand letter from a buyer. The license holder's attorney responds within 60 days with a written settlement offer that includes a full repair of the defect and $10,000 in damages. The buyer rejects the offer and proceeds to trial, where the jury awards $8,000 in actual damages. Under the DTPA, what is the effect of the rejected settlement offer on the buyer's recovery?
Next Question
Under the Texas DTPA (Business & Commerce Code §17.45(5)), what does the term "unconscionable action or course of action" mean?