Section 1 amends the private remedies provision under section 8.31, which is the general law giving the Attorney General enforcement powers over violations of various consumer protection and trade practices laws, to include a cross-reference to the new requirements in section 2.
Section 2 provides that civil actions for violations of specified laws involving trade practices, consumer fraud, and false advertising may be brought only by natural persons. A person seeking to recover damages, either individually or as a class, must plead and prove on an individual basis that the unlawful act or practice caused the person to enter into a transaction that resulted in damages. Proof that a person seeking damages suffered an actual out-of-pocket loss would be required. This section would be effective the day following final enactment and apply to actions commenced on or after that date.
Section 3 provides that a court order certifying a class action, refusing to certify a class action, or denying a motion to decertify a class action is appealable in the same manner as a final order or judgment. Discovery and other proceedings in the district court must be stayed while an appeal is pending. This section would be effective July 1, 2011, and apply to orders issued on or after that date.
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