1 | 1 | | 84R4832 ADM-F |
---|
2 | 2 | | By: King of Parker H.B. No. 736 |
---|
3 | 3 | | |
---|
4 | 4 | | |
---|
5 | 5 | | A BILL TO BE ENTITLED |
---|
6 | 6 | | AN ACT |
---|
7 | 7 | | relating to the treatment of a landman as an independent |
---|
8 | 8 | | contractor. |
---|
9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
---|
10 | 10 | | SECTION 1. Section 201.077, Labor Code, is amended to read |
---|
11 | 11 | | as follows: |
---|
12 | 12 | | Sec. 201.077. SERVICE BY LANDMAN. (a) In this subtitle, |
---|
13 | 13 | | "employment" does not include service performed for a private |
---|
14 | 14 | | for-profit person by an individual as a landman if: |
---|
15 | 15 | | (1) the individual is engaged primarily in negotiating |
---|
16 | 16 | | for the acquisition or divestiture of mineral rights or negotiating |
---|
17 | 17 | | business agreements that provide for the exploration for or |
---|
18 | 18 | | development of minerals; |
---|
19 | 19 | | (2) substantially all remuneration, paid in cash or |
---|
20 | 20 | | otherwise, for the performance of the service is directly related |
---|
21 | 21 | | to the completion by the individual of the specific, contracted-for |
---|
22 | 22 | | tasks, rather than to the number of hours worked by the individual; |
---|
23 | 23 | | and |
---|
24 | 24 | | (3) the service performed by the individual is |
---|
25 | 25 | | performed under a written contract between the individual and the |
---|
26 | 26 | | person for whom the service is performed that provides that the |
---|
27 | 27 | | individual is to be treated as an independent contractor and not as |
---|
28 | 28 | | an employee with respect to the service provided under the |
---|
29 | 29 | | contract. |
---|
30 | 30 | | (b) A contract for a service described by Subsection (a)(1) |
---|
31 | 31 | | to be performed by an individual as a landman does not constitute |
---|
32 | 32 | | employment for purposes of this subtitle, and the landman shall be |
---|
33 | 33 | | considered an independent contractor, if: |
---|
34 | 34 | | (1) the contract specifically states that: |
---|
35 | 35 | | (A) the landman is working as an independent |
---|
36 | 36 | | contractor; and |
---|
37 | 37 | | (B) the landman's employer does not determine the |
---|
38 | 38 | | means or methods of the work being performed; and |
---|
39 | 39 | | (2) the landman's compensation for the contracted |
---|
40 | 40 | | service is directly related only to the performance of the service. |
---|
41 | 41 | | SECTION 2. Section 151.0048, Tax Code, is amended by adding |
---|
42 | 42 | | Subsection (b-2) to read as follows: |
---|
43 | 43 | | (b-2) "Real property service" does not include a service |
---|
44 | 44 | | listed under Subsection (a) if the service is performed by a |
---|
45 | 45 | | landman: |
---|
46 | 46 | | (1) whose contract specifically states that: |
---|
47 | 47 | | (A) the landman is working as an independent |
---|
48 | 48 | | contractor; and |
---|
49 | 49 | | (B) the landman's employer does not determine the |
---|
50 | 50 | | means or methods of the work being performed; and |
---|
51 | 51 | | (2) whose compensation for the contracted service is |
---|
52 | 52 | | directly related only to the performance of the service. |
---|
53 | 53 | | SECTION 3. The amendments made by this Act are a |
---|
54 | 54 | | clarification of existing law and do not imply that existing law may |
---|
55 | 55 | | be construed as inconsistent with the law as amended by this Act. |
---|
56 | 56 | | SECTION 4. This Act takes effect immediately if it receives |
---|
57 | 57 | | a vote of two-thirds of all the members elected to each house, as |
---|
58 | 58 | | provided by Section 39, Article III, Texas Constitution. If this |
---|
59 | 59 | | Act does not receive the vote necessary for immediate effect, this |
---|
60 | 60 | | Act takes effect September 1, 2015. |
---|