| 1 | 1 | | By: Duncan S.B. No. 1456 |
|---|
| 2 | 2 | | |
|---|
| 3 | 3 | | |
|---|
| 4 | 4 | | A BILL TO BE ENTITLED |
|---|
| 5 | 5 | | AN ACT |
|---|
| 6 | 6 | | relating to the time for bringing an action on a consumer debt. |
|---|
| 7 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|---|
| 8 | 8 | | SECTION 1. Section 16.004, Civil Practice and Remedies |
|---|
| 9 | 9 | | Code, is amended by amending Subsection (a) and adding Subsections |
|---|
| 10 | 10 | | (d) and (e) to read as follows: |
|---|
| 11 | 11 | | (a) Except as provided by Subsection (d), a [A] person must |
|---|
| 12 | 12 | | bring suit on the following actions not later than four years after |
|---|
| 13 | 13 | | the day the cause of action accrues: |
|---|
| 14 | 14 | | (1) specific performance of a contract for the |
|---|
| 15 | 15 | | conveyance of real property; |
|---|
| 16 | 16 | | (2) penalty or damages on the penal clause of a bond to |
|---|
| 17 | 17 | | convey real property; |
|---|
| 18 | 18 | | (3) debt; |
|---|
| 19 | 19 | | (4) fraud; or |
|---|
| 20 | 20 | | (5) breach of fiduciary duty. |
|---|
| 21 | 21 | | (d) A person must bring suit on a cause of action on a |
|---|
| 22 | 22 | | consumer debt, as defined by Section 392.001, Finance Code, not |
|---|
| 23 | 23 | | later than four years after the 60th day after the later of: |
|---|
| 24 | 24 | | (1) the date of the last payment on the account by the |
|---|
| 25 | 25 | | debtor other than a payment in violation of the federal Fair Debt |
|---|
| 26 | 26 | | Collection Practices Act (15 U.S.C. 1692 et seq.) or Subchapter D, |
|---|
| 27 | 27 | | Chapter 392, Finance Code; or |
|---|
| 28 | 28 | | (2) the date of the last charge on the account by the |
|---|
| 29 | 29 | | debtor. |
|---|
| 30 | 30 | | (e) This section does not apply to an action that is subject |
|---|
| 31 | 31 | | to Section 3.118, Business & Commerce Code. |
|---|
| 32 | 32 | | SECTION 2. The change in law made by this Act applies only |
|---|
| 33 | 33 | | to an action on a consumer debt on which a payment or charge on the |
|---|
| 34 | 34 | | account is made on or after the effective date of this Act. An |
|---|
| 35 | 35 | | action on a consumer debt on which a payment or charge is not made on |
|---|
| 36 | 36 | | or after the effective date of this Act is governed by the law in |
|---|
| 37 | 37 | | effect immediately before the effective date of this Act, and that |
|---|
| 38 | 38 | | law is continued in effect for that purpose. |
|---|
| 39 | 39 | | SECTION 3. This Act takes effect immediately if it receives |
|---|
| 40 | 40 | | a vote of two-thirds of all the members elected to each house, as |
|---|
| 41 | 41 | | provided by Section 39, Article III, Texas Constitution. If this |
|---|
| 42 | 42 | | Act does not receive the vote necessary for immediate effect, this |
|---|
| 43 | 43 | | Act takes effect September 1, 2009. |
|---|