‘Broad prohibitions’ dampen state consumer laws

Serious gaps and weaknesses have compromised consumer protection laws in Louisiana, and recent court rulings have opened the door to predators and abuses. This is according to a new report by the National Consumer Law Center, a Boston-based advocacy group. Its findings suggest that Louisiana’s unfair or deceptive acts or practice (UDAP) laws include “broad prohibitions that would be far more valuable to consumers were its scope not so limited.” For instance, Louisiana is among three states that exempt most lenders and creditors from UDAP statutes. Insurers and most utility companies enjoy shelter in the Bayou State as well. These laws are supposed to be a frontline of defense for consumers, the only thing guarding the most common of transactions, says Carolyn Carter, an NCLC senior attorney and the author of the report. “Yet in some states these laws provide almost no protection to consumers,” she says. Louisiana is also among nine states that deny consumers the right to join together in a class action under UDAP laws. To read a more detailed breakdown of Louisiana’s standings in “Consumer Protection in the States: A 50-State Report on Unfair and Deceptive Acts and Practices Statutes,” click here.—Jeremy Alford