California's robust consumer protection laws, which combat vehicle fraud, financial exploitation of the elderly, deceptive trade practices, and other forms of misconduct, are effectively upheld by skilled consumer protection attorneys. These legal professionals, with their deep understanding of these laws, play a crucial role in defending your rights from violations.
California, a trailblazer in consumer protection, has taken proactive steps to enact stringent laws that proactively shield its residents from unfair, deceptive, and fraudulent business practices.
California's Consumers Legal Remedies Act (CLRA) is a powerful tool that not only safeguards consumers from false advertising, fraud, and other unfair business practices but also empowers them to take a stand. Whether individually or collectively, consumers can use this law to file lawsuits, recover damages, and halt unlawful practices. Understanding the CLRA can instill a sense of confidence and control over their rights in consumers.
Some unfair and deceptive practices include selling used goods as new, passing off other goods or services as genuine, intentionally recommending unnecessary replacement or repair of goods, and making false or misleading statements about products.
Any consumer suffering due to an act prohibited by the CLRA can seek relief. Whether it's through individual lawsuits or class actions, the court could award court costs and attorney's fees to a plaintiff, providing a sense of justice and relief. This process can make consumers feel that their grievances are not only being heard but also addressed.
The statute of limitations is three years from the date the unfair practice is committed. Notably, however, at least 30 days before filing a lawsuit for damages, the consumer must notify the defendant through certified mail and request that the business correct, repair, replace, or rectify the goods or services alleged to violate the CLRA.
Once the business receives the notice, it has 30 days to remedy the situation or agree to do so within a reasonable time frame and cease engaging in unfair or deceptive practices. Individuals or entities accused of violating these laws face penalties ranging from stiff fines to criminal charges in some cases.
Consumer Protection - Quick Facts
- California enforces ethical trade practices codified in statutes like the Consumer Legal Remedies Act (CLRA), which enables consumers to seek damages, injunctive relief, and attorney's fees for deceptive practices.
- Violations can lead to business financial liabilities, including compensatory and punitive damages and litigation costs.
- Some statutes criminalize fraud, with violations potentially resulting in criminal charges and jail time. The state's consumer protection laws, such as the California Consumer Privacy Act (CCPA) and the California Privacy Rights Act (CPRA), provide a sense of security. These laws protect consumer privacy and establish a strict framework to ensure transparency in the handling of consumer data, giving Californians a sense of security and control over their personal information.
- These laws protect consumer privacy and establish a strict framework to ensure transparency in the handling of consumer data.
- The CCPA and CPRA provide Californians with new rights over their data.
- Consumers can ask businesses to reveal what data is collected, used, shared, or sold, and to whom, and request deletion of their data.
- CPRA gives consumers the right to correct inaccurate data and restricts the use of sensitive information.
- Businesses that generate gross annual revenues over $25 million must notify consumers at or before the point of collection detailing the categories of personal information used.
- Businesses must establish and maintain secure procedures and practices to protect personal information from unauthorized access and disclosures.
Consequences for Non-Compliance
Violating the CCPA and CPRA could result in significant fines if they are not fixed within 30 days of notification:
- $7,500 fines per intentional violation and
- $2,500 per unintentional violation.
These state laws also grant consumers the right to take legal action in cases of unauthorized access, theft, or disclosure of their personal information due to a business's failure to maintain proper security measures.
What are Deceptive Trade Practices?
Navigating the market with integrity is critical for businesses to maintain consumer trust. California has enacted many trade practices laws to combat and prevent dishonest business practices that could mislead consumers. These laws prohibit any act or practice that deceives, misleads, or misinforms consumers, including the following:
- False advertising.
- Fraudulent misrepresentation of products or services.
- Sale of counterfeit or pirated goods.
- Bait-and-switch.
- Passing off goods or services as those of another.
- Claiming used or reconditioned goods are new.
- False claims of good are of a particular quality.
- Misrepresentation of a professional affiliation.
- Misrepresenting the authority of a salesperson or representative.
- Using deceptive representations of geographic origin.
- Disparaging another business by false or misleading representation.
- Advertising goods with no intent to sell them as advertised.
- Unsolicited prerecorded phone messages (robocalls).
- Advertising a product without intending to sell it at that price.
- Significantly downplaying the potential risks associated with it.
What are California's Lemon Laws?
California's "lemon law" (Civil Code Section 1793.22) is mainly codified under the Song-Beverly Consumer Warranty Act, which protects consumers who purchase or lease new vehicles.
These laws are designed to ensure that any vehicle sold with a warranty that fails to perform as promised under the warranty terms can be either replaced or refunded. Consider the following facts:
- The Lemon Law applies to new and used vehicles sold or leased in California that are still under the manufacturer's original warranty.
- The Lemon Law applies to cars, trucks, SUVs, motorhome chassis, cabs, and drivetrains.
- To fall under this law, vehicles must exhibit substantial defects that impair their use, value, or safety and have not been repairable after a reasonable number of attempts by an authorized dealer.
Obligations of Manufacturers and Dealers
When a vehicle is deemed a "lemon," manufacturers must either offer a replacement vehicle of similar value or provide the consumer with a refund.
The law also specifies repair attempt limits of at least two for safety defects and four for substantial defects or those that have been out of service for over 30 days.
Manufacturers and dealers must cooperate with the dispute resolution process, which might involve arbitration as a step before litigation. They also must ensure transparency regarding the repair process and maintain detailed records of all repair attempts and communications with the vehicle owner.
Notably, manufacturers or dealers violating the lemon law could face penalties, such as repurchasing the defective vehicle at its full price, including taxes and fees, minus a usage fee for the miles driven prior to repair.
Sometimes, they might also be required to cover the consumer's attorney fees, promoting legal support. In severe cases, civil penalties up to double the damages may apply.
Other Consumer Protection Laws
Some other consumer protection laws in California deal with the following issues:
- Auto Finance Issues and Auto Dealer Fraud.
- Deceptive Trade Practice Laws.
- Consumer Privacy Rights Laws.
- Financial Abuse of Consumers.
- California Translation Act.
- Elder Abuse and Dependent Adult Civil Protection Act.
- Unfair Competition Law.
- False Advertising Act.
Contact our California criminal defense lawyers for more information. Eisner Gorin LLP is based in Los Angeles, CA.
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