CONSUMER PROTECTION

In 2008 lawmakers passed new bills to protect the value of pre-paid calling cards by restricting unexpected rate-hikes that devalue the card after its purchase; require retailers to give a cash refund on gift cards with a balance of less than $5; prevent predatory lenders from taking over a mortgage through foreclosure and stripping the owner of any equity, a practice known as “equity stripping”; establish a uniform statewide building code; and protect property sellers from being burdened with erroneous municipal taxes.

Summary of New Consumer Protection Laws Passed By The Maine Legislature In 2008

2140 – Protect property-sellers in real estate transactions

Protects people selling their homes from punishment if they are erroneously left with property taxes that should be the responsibility of the new owner to pay

2180 - Protect value of prepaid calling cards

Protects the value of prepaid calling cards at the time of purchase, and prevents card providers from changing the rates and values of purchased cards without notice

2181 – Cash return for gift cards

Allows consumers to get a cash refund on a gift card that has less than $5 of value left, with some exceptions

2189 – Prevent equity stripping

Prevents predatory lenders from taking over a mortgage through foreclosure and stripping the owner of any equity, a practice known as “equity stripping,”

2257 – Uniform building and energy code

Replaces the myriad patchwork of town building and energy codes and establishes a statewide model building and energy efficiency code for new home construction, remodeling and substantial renovation that cities and towns with more than 2,000 people will be required to enforce