The Ohio Consumer Sales Practices Act (“CSPA”) is designed to protect consumers from unfair, deceptive and unconscionable acts or practices by suppliers. R.C. 1345.02-1345.03. To achieve this goal, the Ohio legislature broadly defines consumer transactions as “a sale, lease, assignment, award by chance, or other transfer of an item of goods, a service, franchise, or an intangible, to an individual for purposes that are primarily personal, family, or household, or solicitation to supply any of these things.” R.C. 1345.01. Or, in the words of one notable Court, “it gives protection to consumers from “unscrupulous suppliers” in a more expedient and affordable manner than a tort or contract action under the common law.” Walker v. Dominion Homes, Inc. (2005), 164 Ohio App.3d 385, 2005-Ohio-6055, quoting Eihnhorn v. Ford Motor Co. (1990), 48 Ohio St.3d 27, 29. It is simply remedial legislation to be liberally interpreted in favor of the consumer.
The consequences of being found liable under the CSPA can be severe. R.C. 1345.09. Where an act is declared “deceptive or unconscionable” by the trier of fact, or to violate section 1345.02 and 1345.03 of the Ohio Revised Code, the consumer may elect to “to rescind the transaction or recover, but not in a class action, three times the amount of his actual damages, or two hundred dollars, which ever is greater, or recover other appropriate relief under Civil Rule 23, ***.”
Notwithstanding, the consumer bears the burden of demonstrating the alleged violation satisfies the criteria of R.C. 1345.09(B). Consequently, a court may find a defendant committed an unconscionable act under the CSPA, but elect to deny treble damages. Sinkfield v. Strong (1987), 34 Ohio Misc. 2d 19, 21.
A prevailing party may also be awarded reasonable attorneys’ fees if:
(1) The consumer complaining of the act or practice that violated this chapter has brought or maintained an action that is groundless, and the consumer filed and maintained the action in bad faith;
(2) The supplier has knowingly committed an act or practice that violates this chapter.
R.C. 1345.09(F)
In order to meet the criteria for “knowingly” committing an act or practice in violation, the supplier need only to commit the act that violates the CSPA. The supplier does not have to have the knowledge that the act violates the statute to allow for the granting of attorneys’ fees. Einhorn.
George Zamary is the founder of the Zamary Law Firm, LLC. Zamary Law Firm practices in the areas of estate planning, corporate and employment law, civil litigation, election law and small business representation in both Ohio and Kentucky. Visit www.zamarylaw.com for more information and to sign-up for their newsletter or visit their page on Facebook. Zamary Law may be contacted at 513-448-4150.
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