2023S0057-1 01/24/23
By: Leach H.B. No. 1763
A BILL TO BE ENTITLED
AN ACT
relating to the disposition of money from certain attorney accounts
delivered to the comptroller as unclaimed property.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter G, Chapter 74, Property Code, is
amended by adding Section 74.604 to read as follows:
Sec. 74.604. DISPOSITION OF MONEY DELIVERED TO COMPTROLLER
FROM CERTAIN ATTORNEY ACCOUNTS. (a) This section applies to money
delivered to the comptroller under Section 74.301 as:
(1) unclaimed or unidentified funds in a client trust
account established by an attorney or law firm; or
(2) money in an abandoned IOLTA account established by
an attorney or law firm to comply with Texas Supreme Court rules
governing the Texas Access to Justice Program.
(b) Notwithstanding any other provision of this chapter or
other law, the comptroller shall deposit money to which this
section applies to the credit of the judicial fund. Except as
otherwise provided by this section, money deposited to the credit
of the judicial fund may be appropriated only to the Texas Supreme
Court for programs approved by the supreme court that provide basic
civil legal services.
(c) If the comptroller pays a claim to a person establishing
ownership of any money that was deposited to the credit of the
judicial fund under Subsection (b), the Texas Supreme Court shall
reimburse the comptroller out of the judicial fund for the amount of
the claim. The supreme court may use money deposited under
Subsection (b) to pay the claim.
(d) The comptroller and the Texas Supreme Court may adopt
rules necessary to implement this section.
(e) In this section, "IOLTA" means the Interest On Lawyers'
Trust Account Program.
SECTION 2. (a) Section 74.604, Property Code, as added by
this Act, applies to money described by Section 74.604(a)(1) or
(2), Property Code, as added by this Act, that was delivered to the
comptroller under Section 74.301, Property Code, on, before, or
after the effective date of this Act.
(b) As soon as possible after the effective date of this
Act, the comptroller shall identify money described by Subsection
(a) of this section that was delivered to the comptroller before the
effective date of this Act and deposit that money to the credit of
the judicial fund in accordance with Section 74.604(b), Property
Code, as added by this Act. The comptroller shall subtract from the
amount the comptroller deposits to the judicial fund under this
subsection any amounts that the comptroller has previously paid on
claims to persons who established ownership of part of that money.
SECTION 3. This Act takes effect September 1, 2023.