Running a business in Texas means playing by the rules. When one party cuts corners or acts dishonestly, it can hurt others and create serious legal trouble. You should know what counts as unfair business practices to protect yourself and your company.
Deceptive advertising hurts consumers and competitors
False or misleading advertising often qualifies as an unfair practice. If a company makes exaggerated claims or hides important information about a product or service, that’s considered deceptive. These tactics confuse customers and put honest businesses at a disadvantage. Even small exaggerations in promotions can lead to lawsuits and fines.
Breach of contract shows bad faith behavior
When one business doesn’t follow the terms of a signed contract, it can create serious problems. Breaking agreements without cause, delaying delivery on purpose, or not paying for goods or services can all fall under unfair practices. Courts in Texas expect businesses to act in good faith and fulfill their promises.
Using confidential info for gain is illegal
Taking another company’s trade secrets or confidential data without permission counts as an unfair method of competition. For example, if a former employee uses client lists or pricing strategies at a new job, that may lead to legal consequences. Texas law protects businesses from this kind of theft or misuse.
Price fixing and monopoly actions are not allowed
When companies work together to control prices or limit competition, they violate antitrust laws. Charging too much to eliminate smaller competitors or controlling supply can be seen as unfair. These actions prevent a healthy, competitive marketplace and are taken seriously by courts and regulators.
Unfair business practices can harm your company’s reputation and bottom line. Knowing what to look for helps you take action if someone treats you unfairly or pressures you into doing something dishonest. Staying informed keeps your business safe and your partnerships trustworthy.
