| 1 | 1 | | By: Martinez Fischer H.B. No. 4457 |
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| 2 | 2 | | |
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| 3 | 3 | | |
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| 4 | 4 | | A BILL TO BE ENTITLED |
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| 5 | 5 | | AN ACT |
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| 6 | 6 | | relating to damages for certain insurance practices. |
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| 7 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 8 | 8 | | SECTION 1. Section 541.152, Insurance Code, is amended to |
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| 9 | 9 | | read as follows: |
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| 10 | 10 | | Sec. 541.152. DAMAGES, ATTORNEY'S FEES, AND OTHER RELIEF. |
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| 11 | 11 | | (a) A plaintiff who prevails in an action under this subchapter may |
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| 12 | 12 | | obtain: |
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| 13 | 13 | | (1) the amount of damages for mental anguish and other |
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| 14 | 14 | | actual damages, plus court costs and reasonable and necessary |
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| 15 | 15 | | attorney's fees; |
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| 16 | 16 | | (2) an order enjoining the act or failure to act |
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| 17 | 17 | | complained of; or |
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| 18 | 18 | | (3) any other relief the court determines is proper. |
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| 19 | 19 | | (b) On a finding by the trier of fact that the defendant |
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| 20 | 20 | | knowingly committed the act complained of, the trier of fact may |
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| 21 | 21 | | award an amount not to exceed three times the amount of actual |
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| 22 | 22 | | damages. A finding that the defendant acted knowingly shall not be |
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| 23 | 23 | | a prerequisite to the recovery of any actual damages. |
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| 24 | 24 | | SECTION 2. This Act applies only to an action commenced on |
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| 25 | 25 | | or after the effective date of this Act. An action that is |
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| 26 | 26 | | commenced before the effective date of this Act is governed by the |
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| 27 | 27 | | law applicable to the action immediately before the effective date |
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| 28 | 28 | | of this Act, and that law is continued in effect for that purpose. |
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| 29 | 29 | | SECTION 3. This Act takes effect immediately if it receives |
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| 30 | 30 | | a vote of two-thirds of all the members elected to each house, as |
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| 31 | 31 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 32 | 32 | | Act does not receive the vote necessary for immediate effect, this |
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| 33 | 33 | | Act takes effect September 1, 2009. |
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