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Delaware General Assembly· SB 297Signed

Consumer Fraud Act/Clarifying Language/Add, the official text

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SPONSOR: Sen. Hansen & Rep. Griffith
                                                                Sens. Cruce, Pinkney, Sokola, Sturgeon, Walsh; Reps.
                                                                Bolden, Cooke, Gorman, Romer

                                                DELAWARE STATE SENATE
                                                153rd GENERAL ASSEMBLY

                                                SENATE BILL NO. 297

   AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO CONSUMER PROTECTION.

   BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

1  Section 1. Amend § 2513, Title 6 of the Delaware Code by making deletions as shown by strike through and

2 insertions as shown by underline as follows:

3  § 2513. Unlawful practice.

4  (c) For purposes of this section, “in connection with” includes any unfair or deceptive conduct, as enumerated in

5 § 2513(a) of this title, that occurs before, during, or after the sale, lease, receipt, or advertisement of any merchandise.

                                                                       SYNOPSIS

             This Act adds a clarifying interpretive paragraph to the Delaware Consumer Fraud Act (Subchapter II, Chapter 25,
   Title 6 of the Code) to address a recent decision by the Delaware Supreme Court and to make clear that the Consumer
   Fraud Act’s use of the phrase “in connection with” in § 2513 should be interpreted to include unfair and deceptive acts and
   practices that occur “before, during, and after” the sale, lease, receipt, or advertisement of any merchandise. The Delaware
   Supreme Court recently construed the Consumer Fraud Act to be confined to conduct “between businesses and consumers
   which happen before a transaction or during the transaction itself.” Blue Beach Bungalows DE, LLC v. State, No. 14, 2025,
   2025 WL 3768232, at *11 (Del. Dec. 30, 2025). However, in recognition of the broad purpose of the Consumer Fraud Act
   set forth by the 123rd General Assembly in Section 2512, subsequent amendments to the Consumer Fraud Act to include
   the “receipt” of merchandise, and the scope of comparable statutes in other states, this bill ensures that the Consumer Fraud
   Act is interpreted to apply to unfair or deceptive conduct that occurs after a sale, lease, receipt, or advertisement, including,
   but not limited to, conduct occurring in instances in which a sale, lease, receipt, or advertisement creates an ongoing
   relationship or a continuing obligation, or where performance has not yet been completed. This aligns the Consumer Fraud
   Act with Unfair or Deceptive Acts or Practices (“UDAP”) laws with similar language in other states, as well as many other
   UDAP laws, including the FTC Act, that cover post-transaction conduct.

             This Act will allow the Delaware Department of Justice to use the Consumer Fraud Act to address the full range of
   unfair and deceptive acts or practices that consumers report to the Delaware Department of Justice, including, for example,
   false and threatening landlord communications, unscrupulous debt collection tactics, and failures to honor promises to fix
   returned merchandise. It will also ensure that businesses throughout the state can compete on a level playing field
   throughout the duration of their relationships with consumers, without being undercut by unscrupulous competitors who
   engage in post-transaction misconduct. Additionally, it ensures that the Delaware Department of Justice is not
   disadvantaged when coordinating with other states to hold entities accountable for unfair or deceptive acts or practices that
   are nationwide in scope.

                                                                        Author: Senator Hansen

   SD : AVP : MMS                               Page 1 of 1             Released: 05/04/2026 01:46 PM
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