Texas 2009 - 81st Regular

Texas Senate Bill SB487 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	81R3287 TJS-D
2	2	By: West S.B. No. 487
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to restrictions on the prices of certain consumer goods
8	8	and services during an abnormal disruption of the market.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Title 99, Business & Commerce Code, as effective
11	11	April 1, 2009, is amended by adding Chapter 2003 to read as follows:
12	12	CHAPTER 2003. RESTRICTED PRICING DURING ABNORMAL MARKET
13	13	DISRUPTION
14	14	Sec. 2003.001. DEFINITION. In this chapter, "essential
15	15	consumer good or service" means a good or service that is purchased
16	16	or provided primarily for personal, family, or household purposes
17	17	and that is necessary for the health, safety, or welfare of a
18	18	consumer. The term includes:
19	19	(1) pharmaceutical products, including prescription
20	20	medications;
21	21	(2) residential construction materials;
22	22	(3) gas and electric services;
23	23	(4) ice; and
24	24	(5) motor fuel.
25	25	Sec. 2003.002. GOVERNOR'S DECLARATION OF ABNORMAL
26	26	DISRUPTION OF MARKET. (a) The governor may declare an abnormal
27	27	disruption of the market by proclamation if the governor, after
28	28	consulting with the attorney general, determines that essential
29	29	goods or services are not readily available, or that a substantial
30	30	likelihood exists that essential goods or services will not be
31	31	readily available, as a result of an emergency or disaster such as:
32	32	(1) a fire, explosion, flood, hurricane, tornado,
33	33	drought, or earthquake; or
34	34	(2) an act of terrorism or war that results in:
35	35	(A) the death of or physical injury to numerous
36	36	individuals; or
37	37	(B) massive destruction of property.
38	38	(b) The governor's authority to declare an abnormal
39	39	disruption of the market under this section is in addition to the
40	40	governor's authority to declare a state of disaster under Chapter
41	41	418, Government Code.
42	42	Sec. 2003.003. PUBLICATION OF PROCLAMATION. The governor
43	43	shall publish the proclamation of an abnormal disruption of the
44	44	market:
45	45	(1) in the Texas Register;
46	46	(2) on the office of the governor's Internet website;
47	47	and
48	48	(3) in any other manner the governor considers
49	49	adequate to give notice to persons in the geographical area covered
50	50	by the proclamation.
51	51	Sec. 2003.004. PROCLAMATION SPECIFICATIONS. (a) The
52	52	governor's proclamation of an abnormal disruption of the market
53	53	must specify:
54	54	(1) the geographical area covered by the proclamation;
55	55	and
56	56	(2) the date and time at which the abnormal disruption
57	57	of the market began.
58	58	(b) The geographical area covered by the governor's
59	59	proclamation may not be larger than necessary to effectively
60	60	respond to the disruption of the market.
61	61	(c) The date and time specified by the proclamation under
62	62	Subsection (a)(2) may precede the date of the proclamation.
63	63	Sec. 2003.005. EXPIRATION OF PROCLAMATION. The
64	64	proclamation of an abnormal market disruption expires on the
65	65	earlier of:
66	66	(1) the date on which the governor declares it
67	67	expired; or
68	68	(2) the 60th day after the date the proclamation is
69	69	issued.
70	70	Sec. 2003.006. UNCONSCIONABLE PRICES PROHIBITED;
71	71	DETERMINATION OF UNCONSCIONABLE PRICE. (a) If a proclamation of an
72	72	abnormal disruption of the market is in effect for an area, a
73	73	person, including a merchant or wholesaler, may not sell or offer
74	74	for sale an essential consumer good or service in the area for a
75	75	price that is unconscionably excessive.
76	76	(b) A price charged by a person for an essential consumer
77	77	good or service is unconscionably excessive as a matter of law if
78	78	the price exceeds by 15 percent or more the price at which the good
79	79	or service was sold or offered for sale by the person in the usual
80	80	course of business, or was readily obtainable by consumers in the
81	81	trade area, immediately before the occurrence of the event or
82	82	circumstance identified by the governor's proclamation as
83	83	preventing essential consumer goods or services from being readily
84	84	available.
85	85	(c) A violation of this section is a deceptive trade
86	86	practice under Subchapter E, Chapter 17, and constitutes a separate
87	87	violation from any violation of Section 17.46(b)(27).
88	88	(d) It is an affirmative defense to liability under this
89	89	section that the price charged by the person is:
90	90	(1) attributable to additional costs imposed by the
91	91	person's suppliers or otherwise necessarily incurred in procuring
92	92	the goods or providing the services during the abnormal disruption
93	93	of the market; or
94	94	(2) the result of increased costs unrelated to the
95	95	abnormal disruption of the market.
96	96	(e) As used in this section, "person" does not include a
97	97	governmental entity.
98	98	SECTION 2. This Act takes effect September 1, 2009.