84R5004 LED-D
By: Garcia S.B. No. 1848
A BILL TO BE ENTITLED
AN ACT
relating to civil liability of shareholders and members of certain
legal entities that engage in the trafficking of persons.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 98, Civil Practice and Remedies Code, is
amended by adding Section 98.0025 to read as follows:
Sec. 98.0025. SHAREHOLDER AND MEMBER LIABILITY. (a) This
section applies to a legal entity governed by Title 2, 3, or 7,
Business Organizations Code.
(b) Notwithstanding any provision of the Business
Organizations Code, if a legal entity described by Subsection (a)
is liable under Section 98.002, a shareholder or member of that
entity is jointly and severally liable with the entity to the person
trafficked for damages arising from the trafficking of that person
if the person demonstrates that the shareholder or member:
(1) caused the entity to be used for the purpose of
trafficking of persons; or
(2) knew the entity was engaged in the trafficking of
persons and directly benefited from that trafficking.
SECTION 2. The change in law made by this Act applies only
to a cause of action that accrues on or after the effective date of
this Act. A cause of action that accrues before the effective date
of this Act is governed by the law as it existed immediately before
that date, and that law is continued in effect for that purpose.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2015.