| 1 | 1 | | 84R10187 DDT-F |
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| 2 | 2 | | By: Giddings H.B. No. 3058 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to the threat or pursuit of criminal charges against a |
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| 8 | 8 | | consumer in association with certain extensions of consumer credit; |
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| 9 | 9 | | providing a civil penalty; adding a provision subject to a criminal |
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| 10 | 10 | | penalty. |
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| 11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 12 | 12 | | SECTION 1. Chapter 393, Finance Code, is amended by adding |
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| 13 | 13 | | Subchapter E-1 to read as follows: |
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| 14 | 14 | | SUBCHAPTER E-1. CRIMINAL CHARGES AGAINST CONSUMER |
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| 15 | 15 | | Sec. 393.421. CRIMINAL CHARGE AGAINST CONSUMER. (a) A |
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| 16 | 16 | | credit services organization or a representative of a credit |
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| 17 | 17 | | services organization may not, unless the credit services |
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| 18 | 18 | | organization or representative of the credit services organization |
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| 19 | 19 | | has extrinsic evidence sufficient to prove that the consumer has |
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| 20 | 20 | | committed an offense under Section 31.03, 31.04, or 32.41, Penal |
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| 21 | 21 | | Code: |
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| 22 | 22 | | (1) file a criminal complaint or threaten to file a |
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| 23 | 23 | | criminal complaint related to an extension of consumer credit |
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| 24 | 24 | | against the consumer for an offense under Section 31.03, 31.04, or |
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| 25 | 25 | | 32.41, Penal Code; or |
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| 26 | 26 | | (2) refer or threaten to refer a consumer to a |
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| 27 | 27 | | prosecutor under Article 102.007, Code of Criminal Procedure, for |
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| 28 | 28 | | the collection and processing of a check or similar sight order that |
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| 29 | 29 | | was issued in relation to an extension of consumer credit. |
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| 30 | 30 | | (b) Notwithstanding the presumptions provided by Sections |
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| 31 | 31 | | 31.06(a) and 32.41(b), Penal Code, evidence of a denied or returned |
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| 32 | 32 | | payment due to insufficient funds or account closure is not |
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| 33 | 33 | | extrinsic evidence of an offense under Section 31.03, 31.04, or |
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| 34 | 34 | | 32.41, Penal Code. |
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| 35 | 35 | | (c) Extrinsic evidence of an offense under Section 31.03, |
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| 36 | 36 | | 31.04, or 32.41, Penal Code, includes evidence that the consumer |
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| 37 | 37 | | was not an authorized user of the account on which the payment was |
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| 38 | 38 | | drawn at the time the payment was provided. |
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| 39 | 39 | | Sec. 393.422. CIVIL REMEDIES. (a) For a violation of this |
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| 40 | 40 | | subchapter against a consumer, the consumer may sue to: |
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| 41 | 41 | | (1) receive injunctive relief to restrain the |
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| 42 | 42 | | violation or to correct any negative credit issues caused by the |
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| 43 | 43 | | violation; |
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| 44 | 44 | | (2) void the contract for the debt or the debt |
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| 45 | 45 | | services; or |
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| 46 | 46 | | (3) recover actual damages sustained as a result of |
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| 47 | 47 | | the violation. |
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| 48 | 48 | | (b) A consumer who successfully maintains an action under |
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| 49 | 49 | | Subsection (a) is entitled to reasonable attorney's fees and court |
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| 50 | 50 | | costs. |
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| 51 | 51 | | (c) If the attorney general reasonably believes that a |
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| 52 | 52 | | person is violating or is about to violate this subchapter, the |
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| 53 | 53 | | attorney general may bring an action in the name of this state |
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| 54 | 54 | | against the person to restrain or enjoin the person from violating |
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| 55 | 55 | | this subchapter. |
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| 56 | 56 | | (d) A consumer who successfully maintains an action under |
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| 57 | 57 | | this section for violation of this subchapter is entitled to not |
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| 58 | 58 | | less than $100 for each violation of this subchapter. |
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| 59 | 59 | | SECTION 2. This Act takes effect September 1, 2015. |
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