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Texas Legal Community Combats Gouging, Misinformation in Wake of Harvey

As August came to a close, Hurricane Harvey devastated much of Texas and left in its wake an enormous amount of damage with fiscal, physical, medical and legal ramifications.

Members of the Texas legal community have taken on a number of roles to help mitigate the impact of Harvey, with some offering pro bono services to victims, assisting with burdensome red tape, aiding victims in finding housing and helping protect against price gouging.  

The storm brought more than just wind and rain, with allegations of jacked up prices at gas stations, confusion regarding a new insurance law and other questions regarding the storm’s effects. The timing surrounding House Bill 1774, which relates to “to actions on and liability associated with certain insurance claims,” was partially responsible for some confusion regarding the aftermath of the storm.

Because the law went into effect September 1, and dealt with insurance liability, some mistakenly believed they were up against a deadline to file their claims. However, the Texas Department of Insurance issued a statement making clear the new law, which deals with procedures for filing a lawsuit related to insurance disputes, will not impact regular insurance payments.  

“The claims filing process and deadlines aren’t changing September 1. House Bill 1774 from the last regular session does not change how homeowners file a claim, deadlines to file claims, or how insurers process claims,” according to information from the TDI. “It also does not apply to claims with the Texas Windstorm Insurance Association or the National Flood Insurance Program.”  

While the ramifications of House Bill 1774 are largely caused by its effective date being so close to the storm, the attorney general’s office has grappled with a less accidental burden on the storm’s victims: alleged price gouging. Attorney General Ken Paxton warned gas stations not to take advantage of the storm’s victims after the Consumer Protection Division received more than 500 complaints about spiked gas prices.

According to Paxton’s office, some Dallas gas stations were charging as much as $8 per gallon. “Texas law protects consumers from fraud in Dallas and other parts of Texas outside of the governor’s declared disaster areas,” said Marc Rylander, communications director for the attorney general’s office. “If Dallas consumers are victims of fraud by gas stations, we urge them to contact our agency’s consumer protection hotline so that we can investigate and take appropriate action.”  

It also warned of other goods and services being hiked at the expense of those recovering from the storm. The attorney general’s office urges those who feel like a provider is overcharging for water, food, towing and generators to verbalize their concerns. If there is no resolution, file a complaint, the office recommends.  

As a result of the tremendous impact of the storm, many non-governmental organizations have also rallied to offer assistance. Houston Volunteer Lawyers, a service affiliated with the Houston Bar Association, is one such organization. It is offering assistance with the myriad legal inquiries associated with the storm.  

The Houston Bar Association is offering offer assistance though a Legal Line, manned with licensed lawyers at 713-759-1133. The line will be live Monday through Friday from September 5 to September 29, from 3 p.m. to 5 p.m. Lawyers will also offer extended hours until 9 p.m. on September 6 and September 20, according the Houston Volunteer Lawyers.   

Alleged victims of fraud can contact the attorney general’s office at 1-800-621-0508, This email address is being protected from spambots. You need JavaScript enabled to view it., or visit www.texasattorneygeneral.gov. 

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