82R2716 KFF-F
By: Fletcher H.B. No. 620
A BILL TO BE ENTITLED
AN ACT
relating to liability for contracts for legal services procured as
the result of certain prohibited acts.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter C, Chapter 82, Government Code, is
amended by adding Section 82.0651 to read as follows:
Sec. 82.0651. LIABILITY FOR CONTRACTS FOR LEGAL SERVICES
PROCURED AS RESULT OF CERTAIN PROHIBITED CONDUCT. (a) A client who
paid a fee to an attorney or other person under a contract for legal
services that was procured as a result of conduct described by
Section 38.12, 38.122, or 38.123, Penal Code, or Rule 8.04, Texas
Disciplinary Rules of Professional Conduct, may bring an action
against one or more persons who ordered, encouraged, or
participated in the procurement. If the client proves those facts
by a preponderance of the evidence, the client may recover:
(1) the amounts paid to or received by the persons who
ordered, encouraged, or participated in the procurement in
connection with the contract;
(2) reasonable and necessary attorney's fees and court
costs incurred by the client in the action; and
(3) prejudgment and postjudgment interest as provided
by law.
(b) Each person who ordered, encouraged, or participated in
the procurement of a contract as described by Subsection (a) is
jointly and severally liable for amounts recoverable under that
subsection.
(c) In addition to amounts recoverable under Subsection
(a), a client who prevails in an action as described by that
subsection may recover from a person who knowingly ordered,
encouraged, or participated in the procurement of the contract an
amount equal to two times the amount paid to or received by the
person in connection with the contract.
SECTION 2. The change in law made by this Act applies only
to a contract entered into on or after the effective date of this
Act.
SECTION 3. This Act takes effect September 1, 2011.