| 1 | | - | By: Romero, Jr., Capriglione H.B. No. 53 |
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| 2 | | - | (Senate Sponsor - Huffman) |
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| 3 | | - | (In the Senate - Received from the House April 27, 2017; |
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| 4 | | - | May 11, 2017, read first time and referred to Committee on State |
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| 5 | | - | Affairs; May 15, 2017, reported favorably by the following vote: |
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| 6 | | - | Yeas 9, Nays 0; May 15, 2017, sent to printer.) |
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| 7 | | - | Click here to see the committee vote |
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| 1 | + | H.B. No. 53 |
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| 11 | 4 | | AN ACT |
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| 12 | 5 | | relating to certain limitations on settlement agreements with a |
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| 13 | 6 | | governmental unit. |
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| 14 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 15 | 8 | | SECTION 1. Title 5, Civil Practice and Remedies Code, is |
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| 16 | 9 | | amended by adding Chapter 116 to read as follows: |
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| 17 | 10 | | CHAPTER 116. SETTLEMENT OF CLAIM OR ACTION AGAINST GOVERNMENTAL |
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| 18 | 11 | | UNIT |
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| 19 | 12 | | Sec. 116.001. DEFINITION. In this chapter, "governmental |
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| 20 | 13 | | unit" has the meaning assigned by Section 101.001. |
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| 21 | 14 | | Sec. 116.002. CERTAIN SETTLEMENT TERMS PROHIBITED. (a) A |
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| 22 | 15 | | governmental unit may not enter into a settlement of a claim or |
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| 23 | 16 | | action against the governmental unit in which: |
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| 24 | 17 | | (1) the amount of the settlement is equal to or greater |
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| 25 | 18 | | than $30,000; |
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| 26 | 19 | | (2) the money that would be used to pay the settlement |
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| 27 | 20 | | is: |
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| 28 | 21 | | (A) derived from taxes collected by a |
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| 29 | 22 | | governmental unit; |
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| 30 | 23 | | (B) received from the state; or |
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| 31 | 24 | | (C) insurance proceeds received from an |
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| 32 | 25 | | insurance policy for which the premium was paid with taxes |
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| 33 | 26 | | collected by a governmental unit or money received from the state; |
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| 34 | 27 | | and |
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| 35 | 28 | | (3) a condition of the settlement requires a party |
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| 36 | 29 | | seeking affirmative relief against the governmental unit to agree |
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| 37 | 30 | | not to disclose any fact, allegation, evidence, or other matter to |
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| 38 | 31 | | any other person, including a journalist or other member of the |
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| 39 | 32 | | media. |
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| 40 | 33 | | (b) A settlement agreement provision entered into in |
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| 41 | 34 | | violation of Subsection (a) is void and unenforceable. |
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| 42 | 35 | | Sec. 116.003. EFFECT OF CHAPTER. This chapter does not |
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| 43 | 36 | | affect information that is privileged or confidential under other |
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| 44 | 37 | | law. |
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| 45 | 38 | | SECTION 2. The change in law made by this Act applies only |
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| 46 | 39 | | with respect to a claim or action that is based on a cause of action |
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| 47 | 40 | | that accrues on or after the effective date of this Act. |
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| 48 | 41 | | SECTION 3. This Act takes effect September 1, 2017. |
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| 49 | | - | * * * * * |
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| 42 | + | ______________________________ ______________________________ |
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| 43 | + | President of the Senate Speaker of the House |
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| 44 | + | I certify that H.B. No. 53 was passed by the House on April |
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| 45 | + | 26, 2017, by the following vote: Yeas 148, Nays 0, 1 present, not |
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| 46 | + | voting. |
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| 47 | + | ______________________________ |
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| 48 | + | Chief Clerk of the House |
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| 49 | + | I certify that H.B. No. 53 was passed by the Senate on May 19, |
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| 50 | + | 2017, by the following vote: Yeas 30, Nays 1. |
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| 51 | + | ______________________________ |
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| 52 | + | Secretary of the Senate |
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| 53 | + | APPROVED: _____________________ |
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| 54 | + | Date |
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| 55 | + | _____________________ |
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| 56 | + | Governor |
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