Texas 2011 - 82nd Regular

Texas House Bill HB2031 Compare Versions

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1	1	82R22699 CAE-F
2	2	By: Madden H.B. No. 2031
3	3	Substitute the following for H.B. No. 2031:
4	4	By: Lewis C.S.H.B. No. 2031
5	5
6	6
7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to the establishment of a voluntary compensation plan as a
10	10	method of alternative dispute resolution.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. Title 7, Civil Practice and Remedies Code, is
13	13	amended by adding Chapter 160 to read as follows:
14	14	CHAPTER 160. VOLUNTARY COMPENSATION PLANS
15	15	Sec. 160.001. DEFINITIONS. In this chapter:
16	16	(1) "Claim" means a request to obtain compensation
17	17	from a voluntary compensation plan.
18	18	(2) "Claimant" means a person making a claim.
19	19	(3) "Legitimate claim" means a claim that, in the plan
20	20	administrator's opinion, likely would result in the claimant
21	21	recovering damages from the plan creator if the claim was asserted
22	22	in a civil action by the claimant against the plan creator.
23	23	(4) "Plan administrator" means an individual a
24	24	claimant can contact to obtain information about or compensation
25	25	from a voluntary compensation plan. There may be more than one plan
26	26	administrator.
27	27	(5) "Plan creator" means a person who establishes a
28	28	voluntary compensation plan under this chapter.
29	29	(6) "Potentially liable person" means a person against
30	30	whom a civil action for damages for injury, death, or property
31	31	damage might be filed by a claimant.
32	32	(7) "Voluntary compensation plan" means a plan
33	33	established under this chapter to compensate a claimant for damages
34	34	for injury, death, or property damage that may have been caused by
35	35	the plan creator.
36	36	Sec. 160.002. ESTABLISHING A PLAN. (a) A potentially
37	37	liable person, acting individually or with another potentially
38	38	liable person, may establish a voluntary compensation plan under
39	39	this chapter at any time.
40	40	(b) A voluntary compensation plan is established for
41	41	purposes of this chapter when the plan creator has both published
42	42	and posted a notice as required by Subsections (c) and (d).
43	43	(c) A plan creator must publish a notice of the
44	44	establishment of a voluntary compensation plan in a newspaper of
45	45	record in the county in which the plan creator has the plan
46	46	creator's principal office or principal place of business in this
47	47	state and in a newspaper in the county in this state where the acts
48	48	or omissions giving rise to the establishment or potential
49	49	establishment of the plan occurred. The notice must be at least 20
50	50	column inches in size, must state that the plan creator has
51	51	established a plan, and must contain the information required by
52	52	Sections 160.004(a)(1), (2), (3), and (4).
53	53	(d) A plan creator must post a notice of the establishment
54	54	of a voluntary compensation plan on the plan creator's Internet
55	55	website. The notice must state that the plan creator has
56	56	established a plan, contain the information required by Sections
57	57	160.004(a)(1), (2), (3), and (4), and provide a link to a website a
58	58	potential claimant can use to contact the plan administrator. The
59	59	notice must remain posted on the Internet website until the plan is
60	60	discontinued.
61	61	Sec. 160.003. APPOINTMENT OF PLAN ADMINISTRATOR. (a) A
62	62	plan creator may develop a plan with or without the participation of
63	63	a person who serves or may serve as the plan administrator.
64	64	(b) A plan administrator must be an independent third party
65	65	appointed by a multidistrict litigation panel. The panel shall
66	66	appoint the plan administrator as soon as reasonably practicable
67	67	after a request for an appointment is made by a plan creator or
68	68	after the need for appointing a plan administrator arises.
69	69	Sec. 160.004. CONTENTS OF PLAN. (a) A voluntary
70	70	compensation plan established under this chapter must contain the
71	71	following elements:
72	72	(1) the name of the plan creator;
73	73	(2) the name, address, telephone number, and e-mail
74	74	address of the plan administrator;
75	75	(3) the kind or class of claimants who may be eligible
76	76	to receive compensation from the plan;
77	77	(4) the deadline by which claims must be filed with the
78	78	plan administrator;
79	79	(5) the criteria the plan administrator will use to
80	80	determine whether a claim is legitimate;
81	81	(6) the formula, method, or information the plan
82	82	administrator will use to determine the amount that will be paid to
83	83	a claimant for a legitimate claim, or a schedule showing the amounts
84	84	the plan administrator will pay claimants for legitimate claims;
85	85	(7) the dates and methods by which claims will be paid;
86	86	(8) a statement disclosing the extent to which
87	87	accepting payment from the plan bars suit against the plan creator
88	88	or others; and
89	89	(9) any other information necessary for a claimant to
90	90	obtain information about or request compensation from the plan.
91	91	(b) A potential claimant must be able to obtain from the
92	92	plan administrator, or ascertain by using a program or other method
93	93	made available by the plan administrator, a reasonably accurate
94	94	statement of the amount of compensation the potential claimant
95	95	could receive from the plan.
96	96	(c) A voluntary compensation plan may be amended at any
97	97	time.
98	98	Sec. 160.005. LEGAL EFFECT OF ESTABLISHING PLAN. (a)
99	99	Establishing, attempting to establish, or planning in regard to
100	100	establishing a voluntary compensation plan under this chapter is
101	101	not an admission of liability by any person.
102	102	(b) Evidence that a person established, attempted to
103	103	establish, planned in regard to establishing, or sought information
104	104	or compensation from a voluntary compensation plan is not
105	105	admissible in any civil, criminal, or administrative proceeding in
106	106	which the tribunal will determine liability for the acts or
107	107	omissions that gave rise to the establishment or potential
108	108	establishment of the voluntary compensation plan.
109	109	(c) A notice published and posted as required by Section
110	110	160.002 is not admissible in any civil, criminal, or administrative
111	111	proceeding in which the tribunal will determine liability for the
112	112	acts or omissions that gave rise to the establishment of the
113	113	voluntary compensation plan.
114	114	(d) Any statement by the plan creator or plan administrator,
115	115	whether oral or written, regarding the plan or the plan creator
116	116	establishing, attempting to establish, or planning to establish a
117	117	voluntary compensation plan under this chapter is not admissible in
118	118	any civil, criminal, or administrative proceeding in which the
119	119	tribunal will determine liability for the acts or omissions that
120	120	gave rise to the establishment or potential establishment of the
121	121	voluntary compensation plan.
122	122	(e) A plan creator's consideration of or planning for
123	123	establishing a voluntary compensation plan is privileged from
124	124	discovery or disclosure in any civil, criminal, or administrative
125	125	proceeding in which the tribunal will determine liability for the
126	126	acts or omissions that gave rise to the establishment or potential
127	127	establishment of the voluntary compensation plan.
128	128	(f) Establishing, attempting to establish, or planning in
129	129	regard to establishing a voluntary compensation plan under this
130	130	chapter does not create a legal duty owed by the plan administrator
131	131	or plan creator to anyone. Establishing, attempting to establish,
132	132	or planning in regard to establishing a voluntary compensation plan
133	133	does not give rise to a cause of action against a plan administrator
134	134	or plan creator for breach of a duty of good faith and fair dealing,
135	135	breach of Subchapter E, Chapter 17, Business & Commerce Code, or
136	136	other similar statute, or breach of any other common law or
137	137	statutory duty.
138	138	(g) Establishing a voluntary compensation plan under this
139	139	chapter does not create an obligation for the plan administrator or
140	140	plan creator to negotiate the terms or conditions of payment from
141	141	the plan or for the settlement of litigation or threatened
142	142	litigation.
143	143	(h) Because it is the public policy of this state to
144	144	encourage the quick, fair, and inexpensive resolution of potential
145	145	civil actions, this section is to be interpreted and applied
146	146	liberally to encourage the use of voluntary compensation plans by
147	147	protecting potentially liable persons from having their liability
148	148	based in any respect on establishing, attempting to establish, or
149	149	planning in regard to establishing a voluntary compensation plan.
150	150	Sec. 160.006. PROHIBITED CONTACT. (a) A plan creator or
151	151	plan administrator may not contact a claimant or potential claimant
152	152	who the plan creator knows or reasonably should know is represented
153	153	by an attorney.
154	154	(b) A plan creator or plan administrator may not initiate
155	155	contact with a claimant or potential claimant for the purpose of
156	156	encouraging or attempting to induce the claimant or potential
157	157	claimant to accept compensation under the plan.
158	158	Sec. 160.007. SUPREME COURT RULES. The supreme court may
159	159	adopt rules to implement or govern proceedings under this chapter.
160	160	SECTION 2. This Act takes effect immediately if it receives
161	161	a vote of two-thirds of all the members elected to each house, as
162	162	provided by Section 39, Article III, Texas Constitution. If this
163	163	Act does not receive the vote necessary for immediate effect, this
164	164	Act takes effect September 1, 2011.