Texas consumers recoup money from TDLR enforcement actions

Austin—Texas consumers had more than $400,000 returned to them during the 2024 fiscal year in restitution and refunds resulting from enforcement cases filed against Texas Department of Licensing and Regulation (TDLR) licensees.

“Most TDLR licensees are honest and forthright in their dealings with their customers. However, there are a few licensees who miss the mark. The focus of our agency is to protect all consumers and small businesses that operate in an ethical and lawful manner, and our goal in enforcement actions is to make the consumer whole,” Courtney Arbour, TDLR’s executive director, said.

The restitutions and refunds were made by TDLR licensees who had complaints filed against them by consumers whose property was damaged or were owed refunds or had been overcharged for services. 

Motor Fuel Metering and Quality - $127,881.69: The majority of restitution payments covered vehicle damage caused by water, bad quality fuel, or incorrect fuel type in a fuel dispenser. These types of issues can lead to thousands of dollars of damage to vehicles.

Service Contract Providers - $119,442.26: Service contracts are often called extended warranties or service agreements and protection plans. A consumer who cancels an active service contract is entitled to a full or pro-rata refund of the service contract’s purchase price, minus any applicable cancellation fee or any claims paid under the service contract. Consumers who cancel and do not receive a refund can file a complaint with TDLR, which may be able to assist them in retrieving their refund.

Air Conditioning & Refrigeration - $71,116.19: The payments were refunds made to consumers who had work performed by TDLR licensees, however the work was not done up to code.

Towing and Vehicle Storage Facilities - $63,755.02: Most of those refunds resulted from illegal tows or when companies charged unnecessary or unapproved towing fees.

The chart below includes restitution and refunds paid to consumers by licensees in 12 TDLR programs in Fiscal Year 2024.

 | Program | Total Amount of Restitution/Refunds Paid
 | Motor Fuel Metering & Quality | $127,881.69
 | Service Contract Providers | $119,442.26
 | Air Conditioning & Refrigeration | $71,116.19
 | Towing & Vehicle Storage Facilities | $63,755.02
 | Electricians | $3,440.00
 | Hearing Instrument Fitters & Dispensers | $2,699.98
 | Combative Sports | $2,287.50
 | Laser Hair Removal | $407.17
 | Auctioneers | $221.00
 | Driver Education & Safety | $175.00
 | Property Tax Consultants | $81.19
 | Grand Total | $402,875.87

SOURCE Texas Department of Licensing and Regulation