Virginia Code 38.2-2612: Unfair trade practices
In addition to the provisions of Chapter 5 (§ 38.2-500) of this title, the Commission may order any home protection company or its representatives to cease and desist from engaging in the following unfair trade practices:
Terms Used In Virginia Code 38.2-2612
- Commission: means the State Corporation Commission. See Virginia Code 38.2-100
- Contract: A legal written agreement that becomes binding when signed.
- contract: means any insurance contract or agreement whereby a person undertakes for a specified period of time and for a predetermined fee to furnish, arrange for or indemnify for service, repair, or replacement of any and all of the structural components, parts, appliances, or systems of any covered residential dwelling necessitated by wear and tear, deterioration, inherent defect, or by the failure of an inspection to detect the likelihood of failure. See Virginia Code 38.2-2600
- Fraud: Intentional deception resulting in injury to another.
- Home protection company: means any person who performs, or arranges to perform, services pursuant to a home protection insurance contract. See Virginia Code 38.2-2600
1. The making of any false or misleading statements, either oral or written, in connection with the sale, offer to sell, or advertisement of a home protection contract;
2. The omission of any material statement in connection with the sale, offer to sell, or advertisement of a contract that under the circumstances should have been made in order to make the statements that were made not misleading;
3. The making of any statement that the purchase of a home protection contract is mandatory;
4. The making of any false or misleading statements, either oral or written, about the benefits or services available under the contract;
5. The failure to perform the services promised under the contract in a timely, competent, or workmanlike manner; or
6. Any statement or practice which has the effect of creating or maintaining a fraud.
1981, c. 530, § 38.1-942; 1986, c. 562.