By: Villalba H.B. No. 2650
A BILL TO BE ENTITLED
AN ACT
relating to the treatment of membership initiation payments as
abandoned personal property.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter B, Chapter 72, Property Code, is
amended by adding Section 72.1018 to read as follows:
Sec. 72.1018. Membership Initiation Payments. (a) In this
section, "membership initiation payment" means a payment that:
(1) is paid by a person to join a membership program;
and,
(2) may be refundable under the terms of a membership
agreement.
(b) A membership initiation payment is not presumed
abandoned under this chapter when the member has not forfeited the
refund and the person receiving the membership initiation payment
incurs discharge of indebtedness income on its state and/or federal
tax returns when due.
SECTION 2. EFFECTIVE DATE. 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, 2017.