Tex. Occ. Code Section 1304.205
Remedy for Service Contract Holders

(a)

If the commission by order, including an agreed order, determines that a person has operated as a provider or administrator in this state without holding the appropriate registration under this chapter, the person shall offer to a service contract holder who holds a service contract sold or issued by the person during the period that the person was not registered under this chapter the right to:

(1)

cancel the contract and obtain a refund of the full purchase price of the contract; or

(2)

retain the contract.

(b)

If a seller fails to process a service contract application or a payment from a consumer in accordance with this chapter and any sales agreement or contract between the provider and the seller, the commission or executive director may, by commission order, including an agreed order, require the seller to refund the full purchase price of the contract to the consumer.

(c)

The remedies described in this section are in addition to any administrative penalty, administrative sanction, civil penalty, or other disciplinary or enforcement action sought under this chapter or Chapter 51 (Texas Department of Licensing and Regulation).

Added by Acts 2011, 82nd Leg., R.S., Ch. 1081 (S.B. 1169), Sec. 1.19, eff. September 1, 2011.

Source: Section 1304.205 — Remedy for Service Contract Holders, https://statutes.capitol.texas.gov/Docs/OC/htm/OC.1304.htm#1304.205 (accessed Jun. 5, 2024).

1304.001
Short Title 1304.002
Definitions 1304.003
Service Contract 1304.004
Exemptions 1304.005
Exemptions from Certain Other Laws 1304.0035
Controlling Person 1304.0041
Certain Exempt Agreements 1304.051
General Investigative Power of Executive Director 1304.0051
Confidentiality of Certain Information 1304.052
Rules 1304.101
Registration Required 1304.102
Application for Registration or Renewal 1304.103
Registration and Renewal Fees 1304.104
Information Concerning Number of Service Contracts Sold or Issued 1304.105
Renewal 1304.151
Financial Security Requirements 1304.152
Reimbursement Insurance Policy 1304.153
Appointment and Responsibilities of Administrator 1304.154
Provider Requirements 1304.155
Provider Records 1304.156
Form of Service Contract and Required Disclosures 1304.157
Residential Service Contracts 1304.159
Cancellation by Provider 1304.160
Limitations on Provider Name 1304.161
Prohibited Acts 1304.201
Disciplinary Action 1304.202
Injunctive Relief 1304.203
Multiple Violations 1304.204
Administrative Procedure 1304.205
Remedy for Service Contract Holders 1304.1025
Additional Registration and Renewal Requirements for Providers 1304.1035
Identity Recovery Service Contract Report 1304.1521
Financial Security Transition 1304.1531
Service Contract Sellers 1304.1581
Cancellation by Service Contract Holder

Accessed:
Jun. 5, 2024

§ 1304.205’s source at texas.gov

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Location: https://texas.public.law/statutes/tex._occ._code_section_1304.205

Original Source: Section 1304.205 — Remedy for Service Contract Holders, https://statutes.capitol.texas.gov/Docs/OC/htm/OC.1304.htm#1304.205 (last accessed Jun. 5, 2024).