1 | 1 | | By: White of Bell H.B. No. 3698 |
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2 | 2 | | |
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3 | 3 | | |
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4 | 4 | | A BILL TO BE ENTITLED |
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5 | 5 | | AN ACT |
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6 | 6 | | relating to nonbinding dispute resolution proceedings conducted by |
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7 | 7 | | religious organizations or authorities. |
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8 | 8 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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9 | 9 | | SECTION 1. Subchapter D, Chapter 154, Civil Practice and |
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10 | 10 | | Remedies Code, is amended by adding Section 154.074 to read as |
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11 | 11 | | follows: |
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12 | 12 | | Sec. 154.074. NONBINDING DISPUTE RESOLUTION THROUGH |
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13 | 13 | | RELIGIOUS ORGANIZATION OR AUTHORITY. (a) Notwithstanding Section |
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14 | 14 | | 110.003, a religious organization or authority that provides a |
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15 | 15 | | nonbinding dispute resolution proceeding shall provide a |
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16 | 16 | | disclosure statement to each party to the proceeding. The |
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17 | 17 | | disclosure must state that: |
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18 | 18 | | (1) the organization or authority conducting the |
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19 | 19 | | nonbinding dispute resolution proceeding is not a court of law; |
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20 | 20 | | (2) a nonbinding dispute resolution proceeding that |
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21 | 21 | | results in a settlement agreement is not binding on the parties and |
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22 | 22 | | does not have the force of law unless and until a judge signs the |
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23 | 23 | | settlement agreement; |
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24 | 24 | | (3) after the parties have signed the settlement |
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25 | 25 | | agreement and the agreement is filed with the clerk of the court, |
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26 | 26 | | the agreement may be modified by agreement of the parties if the |
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27 | 27 | | disclosure is signed and witnessed in accordance with Subsection |
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28 | 28 | | (c) and attached to the agreement when filed; |
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29 | 29 | | (4) judges are bound by public policy imperatives and |
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30 | 30 | | will not sign a settlement agreement that is void on its face by |
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31 | 31 | | virtue of the application of foreign law to the dispute that |
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32 | 32 | | violates the public policy of this state, meaning an agreement that |
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33 | 33 | | violates good morals or natural justice or is prejudicial to the |
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34 | 34 | | general interests of the citizens of this state; |
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35 | 35 | | (5) the parties recognize that a judge who signs the |
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36 | 36 | | settlement agreement is unable to review the terms and conditions |
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37 | 37 | | of agreement formation for compliance with public policy standards |
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38 | 38 | | or procedural due process requirements and that only a court |
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39 | 39 | | hearing or binding arbitration process will provide review of |
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40 | 40 | | important aspects of a contract or marriage formation or |
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41 | 41 | | dissolution or an arbitration for: |
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42 | 42 | | (A) the validity and scope of any arbitration |
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43 | 43 | | agreement between the parties; |
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44 | 44 | | (B) compliance of an arbitration proceeding with |
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45 | 45 | | proper procedures and due process; |
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46 | 46 | | (C) whether any resulting decision is irrational |
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47 | 47 | | or void as against the public policy of this state; |
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48 | 48 | | (D) the entitlement of a party to adequate notice |
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49 | 49 | | and representation by an attorney; |
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50 | 50 | | (E) the obligation of an arbitrator to disclose |
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51 | 51 | | information relevant to the arbitrator's impartiality; and |
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52 | 52 | | (F) the inability of a party to agree to the |
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53 | 53 | | unreasonable restriction of the party's right to notice or |
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54 | 54 | | arbitrator disclosure or to waive the right to attorney |
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55 | 55 | | representation; and |
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56 | 56 | | (6) a party has the right to petition a court to |
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57 | 57 | | establish a fact or condition leading to or contained in the |
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58 | 58 | | settlement agreement, subject to the applicable statute of |
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59 | 59 | | limitations. |
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60 | 60 | | (b) A religious organization or authority that provides |
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61 | 61 | | nonbinding dispute resolution proceedings shall include in any and |
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62 | 62 | | all of the organization's or authority's training or governing |
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63 | 63 | | materials for nonbinding dispute resolution proceedings: |
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64 | 64 | | (1) a reference to the requirement that the parties to |
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65 | 65 | | a nonbinding dispute resolution proceeding sign the disclosure |
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66 | 66 | | statement described by Subsection (a); |
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67 | 67 | | (2) a copy of a form containing the required |
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68 | 68 | | disclosure statement; and |
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69 | 69 | | (3) a statement that child custody or child support |
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70 | 70 | | disputes may not be addressed through a nonbinding dispute |
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71 | 71 | | resolution proceeding. |
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72 | 72 | | (c) Each party to a nonbinding dispute resolution |
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73 | 73 | | proceeding provided by a religious organization or authority must |
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74 | 74 | | sign the disclosure statement described by Subsection (a) in the |
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75 | 75 | | presence of a subscribing witness before the proceeding commences. |
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76 | 76 | | If the parties file the resulting settlement agreement with the |
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77 | 77 | | clerk of a court to obtain the signature of a judge, the judge must |
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78 | 78 | | also sign the disclosure statement. |
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79 | 79 | | (d) A religious organization or authority that provides |
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80 | 80 | | nonbinding dispute resolution proceedings shall maintain all files |
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81 | 81 | | related to a nonbinding dispute resolution proceeding, regardless |
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82 | 82 | | of whether the proceeding resulted in a settlement agreement. The |
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83 | 83 | | files shall be kept at a physical location where the religious |
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84 | 84 | | organization or authority meets and, on request, presented for |
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85 | 85 | | review by any person. |
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86 | 86 | | (e) A religious organization or authority may not address |
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87 | 87 | | child custody or child support disputes through a nonbinding |
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88 | 88 | | dispute resolution proceeding. |
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89 | 89 | | SECTION 2. The change in law made by this Act applies only |
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90 | 90 | | to a nonbinding dispute resolution proceeding that is commenced on |
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91 | 91 | | or after the effective date of this Act. A nonbinding dispute |
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92 | 92 | | resolution proceeding that is commenced before the effective date |
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93 | 93 | | of this Act is governed by the law as it existed immediately before |
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94 | 94 | | that date, and that law is continued in effect for that purpose. |
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95 | 95 | | SECTION 3. This Act takes effect September 1, 2015. |
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