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By:  Hochberg                                                     H.B. No. 511



A BILL TO BE ENTITLED

AN ACT

relating to the processing of consumer rebates.                               
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
		SECTION 1.  Subchapter D, Chapter 35, Business and 
Commerce Code, is amended by adding Section 35.43 to read as 
follows:
	Sec. 35.43  CONSUMER REBATE RESPONSE AND GRACE PERIOD FOR 
CORRECTIONS  (a)  A company that offers a rebate of $10 or more, 
other than a rebate that is redeemed at the time of purchase, shall 
mail the rebate to the consumer or electronically pay the consumer 
within 60 days of the company's receipt of a properly completed 
rebate request.
	(b)  If a company receives an incomplete rebate request the 
company shall either:
		(1)  process the rebate in compliance with subsection 
(a); or        
		(2)  notify the consumer of any errors or missing 
paperwork, and allow an additional 30 days for the consumer to 
correct and resubmit the rebate request without penalty.
	(c)  DECEPTIVE TRADE PRACTICE.  A violation of this section 
is a deceptive trade practice in addition to the practices 
described under Subchapter E, Chapter 17 and is actionable under 
that subchapter.
		SECTION 2.  This Act takes effect September 1, 2005.