Massey Law Firm PLLC

Houston Business Litigation Law Blog

A look at the basics of the Texas Deceptive Trade Practices Act

Texan business owners all aim to make a living off of their work. When that livelihood is threatened by the deceptive trade practices of another company, it's only natural to fight to maintain the success of their own business, as well as the business integrity and balance in the area.

FindLaw discusses the Texas Deceptive Trade Practices Consumer Protection Act (DTPA), which is one of the tools that can be used when a business is trying to protect itself from unfair competition with underhanded advantages. It's the primary choice when it comes to consumer protection, and it can be construed and applied somewhat liberally. Unlawful acts under the DTPA include:

  • Deceptive, misleading, or false acts
  • Breach of warranty
  • Unconscionable acts

Understanding the DTPA and avoiding deceptive trade practices

Enacted on May 21, 1973, the Texas Deceptive Trade Practices-Consumer Protection Act (DTPA) focuses on protecting consumers from deceptive business actions. Prohibited practices include false and misleading practices along with unconscionable actions and breaches of warranty.

What types of transactions are covered?

Common types of business fraud

When Texas residents think about business fraud, they may first think of illegal activities performed at large corporations. However, fraud can occur at a business of any size. It is important for business owners to understand what this kind of fraud is, as well as the different forms it comes in.

A company might commit fraud while appearing to conduct business in a normal manner. says that business fraud usually falls into several categories. A company might send goods to another company without paying for them or accept payment for merchandise without sending it to a customer. Business fraud can also include posing as a legitimate charity.

Where do contract disputes arise from?

Texan contracting laws can be finicky and difficult to read or navigate. For that reason, contract disputes often happen despite how much care you may take to avoid it. This is where Massey Law Firm can step in to help you out, even in the most complex of contracting situations.

Let's take a look at the most common reasons for contract disputes, first and foremost. They can include:

  • Failure to fulfill the contract terms
  • Failure to honor non-compete agreements
  • Breach of loan payment or failure to make payments
  • Breach of fiduciary duty or credit obligations

Ending a business is not a sign of personal failure

Many business owners hold their company dear to their heart. In some ways, a business is like a child; the owner watches it grow from an idea to a thriving company. Running a business can be a highly personal experience, which can make times of crisis and change more difficult to manage.

However, Texas business owners may cause more damage if they become too personally invested in their company. When the business has run its course, they might hesitate to close up shop. Waiting too long to end a company can make moving on much more difficult, so the decision is best made objectively.

When can I sue for breach of contract?

As a business owner, you work tirelessly to keep your business going. Part of the management of the business includes maintaining contracts with staff, vendors and other third parties with whom you conduct day-to-day operations. The contracts ensure that the financial arrangement and other expectations are clear to both parties.

Want to avoid or resolve a partnership dispute? Here are some issues to be aware of.

When you and your business partner decided to start a new company, your mutual feeling was undoubtedly one of optimism and excitement. What happens, though, when things don't go as planned?

There is always risk in business, but you can minimize your risk with solid contracts, including a carefully devised partnership agreement that anticipates possible problems. In some cases, though -- and particularly those that lack a partnership agreement -- litigation may be the only way to settle a dispute between partners. Depending on your particular situation, an effective litigation strategy may also be the difference between serious financial losses and protecting your livelihood.

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Massey Law Firm PLLC
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Houston, TX 77007

Phone: 346-800-6101
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