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A BILL TO BE ENTITLED
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AN ACT
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relating to requiring retail merchants to disclose certain |
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merchandise return policies. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Title 12, Business & Commerce Code, as effective |
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April 1, 2009, is amended by adding Chapter 606 to read as follows: |
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CHAPTER 606. MERCHANDISE RETURN POLICIES |
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Sec. 606.001. APPLICABILITY OF CHAPTER. This chapter |
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applies only to a retail merchant who has a policy, as to any item of |
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goods sold, of not providing a cash refund or store credit, or any |
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combination of cash refund or store credit, or of not allowing an |
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equal exchange, for the full purchase price of the item if it is |
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returned with a receipt or other document evidencing proof of |
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purchase at least seven days after the date of sale. |
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Sec. 606.002. INAPPLICABILITY OF CHAPTER TO CERTAIN GOODS. |
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This chapter does not apply to the sale of: |
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(1) food; |
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(2) flowers and plants; |
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(3) perishable goods; |
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(4) goods marked "as is," "no returns accepted," "all |
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sales final," or with similar language; |
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(5) goods used or damaged after purchase; |
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(6) customized goods received as ordered; |
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(7) goods not returned with their original package; or |
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(8) goods that cannot be resold due to health |
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considerations. |
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Sec. 606.003. REQUIRED DISCLOSURE REGARDING REFUNDS, |
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CREDITS, OR EXCHANGES. (a) A retail merchant shall conspicuously |
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disclose the merchant's policy of not providing a full cash refund |
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or store credit or not allowing an equal exchange for returned items |
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under the policy. The disclosure, at a minimum, must state: |
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(1) whether a cash refund, store credit, or equal |
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exchange will be authorized for the full purchase price of returned |
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items; |
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(2) the period to which the policy applies; |
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(3) the types of items covered by the policy; and |
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(4) any other restriction or condition that applies to |
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the refund, credit, or exchange. |
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(b) The disclosure required by Subsection (a) must be: |
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(1) posted on a sign at: |
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(A) each cash register and sales counter at the |
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retail merchant's location; or |
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(B) each public entryway at the retail merchant's |
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location; |
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(2) placed on a sales receipt provided by the retail |
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merchant for the purchase of an item to which the policy applies; or |
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(3) placed on any order form provided by the retail |
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merchant for the purchase of an item to which the policy applies. |
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Sec. 606.004. ENFORCEMENT. (a) If on or before the 30th day |
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after the date of purchase the customer returns, or attempts to |
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return, an item to which the policy applies to a retail merchant who |
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does not comply with Section 606.003, the customer is entitled to, |
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at the customer's election, a cash refund, store credit, or equal |
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exchange for the full purchase price of the returned item. |
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(b) If a retail merchant denies a refund, credit, or |
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exchange requested by a customer under Subsection (a), the retail |
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merchant is liable to the customer for: |
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(1) an amount equal to two times the amount of the |
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purchase price of the returned item; |
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(2) reasonable attorney's fees; and |
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(3) court costs. |
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Sec. 606.005. ADDITIONAL DUTIES, RIGHTS, AND REMEDIES. The |
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duties, rights, and remedies provided by this chapter are in |
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addition to any other duties, rights, and remedies provided by |
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state law. |
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SECTION 2. This Act takes effect September 1, 2009. |