Texas House Bill HCR58

Texas 2019 - 86th Regular

Caption

Condemning the American Law Institute's 2018 Restatement of the Law of Liability Insurance and discouraging courts from relying on the Restatement as an authoritative reference regarding established rules and principles of law.

Impact

If passed, HCR58 would discourage Texas courts from relying on the 2018 Restatement as an authoritative source regarding established rules and principles of law. This resolution aims to reinforce the notion that courts should uphold the legislative prerogatives that govern legal standards specific to the insurance industry. Therefore, the resolution seeks to preserve state-level authority in matters of legal standards relevant to liability insurance.

Summary

HCR58 is a concurrent resolution that condemns the American Law Institute's (ALI) 2018 Restatement of the Law of Liability Insurance. The resolution expresses concerns that the Restatement contains several inconsistencies with well-established insurance law and misrepresents the role of state legislators in establishing standards for the insurance industry. It asserts that such Restatements should be viewed as authoritative references, yet the 2018 version diverges from those expectations.

Contention

Notably, the resolution highlights the tension between established insurance law and the new proposals put forth by the ALI. Critics of the Restatement within the resolution argue that it oversteps its intent by addressing issues that should remain the purview of state legislation. Proponents of HCR58 may view this measure as a means to protect the integrity of state laws against potentially confounding interpretations originating from an external body like the ALI.