Ohio Creates Supplier Right to Cure Under State’s Consumer Sales Practices Act

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On April 2, Ohio enacted a law that permits a supplier to provide a consumer a “cure offer” no later than 30 days after the consumer files an action against the supplier alleging a violation of the Consumer Sales Practices Act. House Bill 275, which takes effect July 3, 2012, establishes the timeline and procedures for an offer and details the allowable limits of the offer. A consumer who chooses not to accept a cure offer is prohibited from recovering treble damages, court costs, and attorney fees following any successful legal action if a court or arbitrator awards the consumer actual economic damages that are not greater than the value of the remedy included in the cure offer. The new law also establishes procedures for determining and disputing attorney fees during the cure offer process.