S.B. No. 1343
AN ACT
relating to the capture, use, or recording of certain items for
commercial purposes, including the prosecution of criminal
offenses regarding unauthorized recordings.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 503.001, Business & Commerce Code, is
amended by adding Subsection (e) to read as follows:
(e) This section does not apply to voiceprint data retained
by a financial institution or an affiliate of a financial
institution, as those terms are defined by 15 U.S.C. Section 6809.
SECTION 2. Section 641.001(4), Business & Commerce Code, is
amended to read as follows:
(4) "Recording" means a tangible medium on which
sounds, images, or both are recorded or otherwise stored,
including:
(A) an original phonograph record, disc, tape,
audio or video cassette, wire, film, memory card, flash drive, hard
drive, data storage device, or other medium now existing or later
developed; or
(B) a copy or reproduction that wholly or partly
duplicates the original.
SECTION 3. Section 641.054, Business & Commerce Code, is
amended to read as follows:
Sec. 641.054. IMPROPER LABELING. (a) A person commits an
offense if:
(1) for commercial advantage or private financial
gain, the person knowingly:
(A) advertises, offers for sale, sells, rents, or
transports a recording;
(B) causes the sale, resale, rental, or
transportation of a recording; or
(C) possesses a recording for a purpose described
by Paragraph (A) or (B); and
(2) the outside cover, box, or jacket of the recording
does not clearly and conspicuously disclose[:
[(A)] the actual name and address of the
manufacturer[; and
[(B) the name of the performer or group].
(b) An offense under this section is punishable by:
(1) imprisonment for a term of not more than five
years, a fine not to exceed $250,000, or both imprisonment and the
fine, if:
(A) the offense involves [at least] 65 or more
improperly labeled [unauthorized] recordings, or the commercial
equivalent thereof, during a 180-day period; or
(B) the defendant has been previously convicted
under this section;
(2) imprisonment for a term of not more than two years,
a fine not to exceed $250,000, or both imprisonment and the fine, if
the offense involves more than seven but fewer than 65 improperly
labeled [unauthorized] recordings, or the commercial equivalent
thereof, during a 180-day period; or
(3) confinement in the county jail for a term of not
more than one year, a fine not to exceed $25,000, or both
confinement and the fine, if the offense is not otherwise
punishable under Subdivision (1) or (2).
SECTION 4. Article 42.037, Code of Criminal Procedure, is
amended by adding Subsections (t), (u), and (v) to read as follows:
(t) If a person is convicted of an offense under Section
641.054, Business & Commerce Code, the court shall order the person
to make restitution to an owner or lawful producer of a master
recording that has suffered financial loss as a result of the
offense or to a trade association that represents that owner or
lawful producer. The amount of restitution ordered shall be:
(1) the greater of:
(A) the aggregate wholesale value of the lawfully
manufactured and authorized recordings corresponding to the number
of nonconforming recordings involved in the offense; or
(B) the actual financial loss to the owner,
lawful producer, or trade association; and
(2) the costs associated with investigating the
offense.
(u) For purposes of Subsection (t)(1)(A):
(1) the calculation of the aggregate wholesale value
is based on the average wholesale value of the lawfully
manufactured and authorized recordings; and
(2) the specific wholesale value of each nonconforming
recording is not relevant to the calculation.
(v) For purposes of Subsection (t)(1)(B), the possession of
a nonconforming recording intended for sale constitutes an actual
financial loss to an owner or lawful producer equal to the actual
value of the legitimate wholesale purchases displaced by the
nonconforming recordings.
SECTION 5. (a) Except as provided by Subsection (b) of
this section, the changes in law made by this Act apply only to an
offense committed on or after the effective date of this Act. An
offense committed before the effective date of this Act is governed
by the law in effect on the date the offense was committed, and the
former law is continued in effect for that purpose. For purposes of
this subsection, an offense was committed before the effective date
of this Act if any element of the offense occurred before that date.
(b) The change in law made by this Act to Section 503.001,
Business & Commerce Code, applies only to a violation that occurs on
or after the effective date of this Act. A violation that occurs
before the effective date of this Act is governed by the law in
effect on the date the violation occurred, and the former law is
continued in effect for that purpose.
SECTION 6. This Act takes effect September 1, 2017.
______________________________ ______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 1343 passed the Senate on
April 20, 2017, by the following vote: Yeas 30, Nays 1; and that
the Senate concurred in House amendment on May 28, 2017, by the
following vote: Yeas 30, Nays 1.
______________________________
Secretary of the Senate
I hereby certify that S.B. No. 1343 passed the House, with
amendment, on May 18, 2017, by the following vote: Yeas 143,
Nays 3, two present not voting.
______________________________
Chief Clerk of the House
Approved:
______________________________
Date
______________________________
Governor