| 2 | 4 | | |
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| 3 | 5 | | |
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| 4 | 6 | | A BILL TO BE ENTITLED |
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| 5 | 7 | | AN ACT |
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| 6 | 8 | | relating to civil liability, including sanctions, for prohibited |
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| 7 | 9 | | barratry. |
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| 8 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 9 | 11 | | SECTION 1. Section 82.0651, Government Code, is amended by |
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| 10 | 12 | | amending Subsection (a) and adding Subsections (d-1) and (d-2) to |
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| 11 | 13 | | read as follows: |
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| 12 | 14 | | Sec. 82.0651. CIVIL LIABILITY FOR PROHIBITED BARRATRY. (a) |
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| 13 | 15 | | A client may bring an action to void a contract for legal services |
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| 14 | 16 | | that was attempted to be procured as a result of conduct violating |
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| 15 | 17 | | Section 38.12(a) or (b), Penal Code, or Rule 7.03 of the Texas |
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| 16 | 18 | | Disciplinary Rules of Professional Conduct of the State Bar of |
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| 17 | 19 | | Texas, regarding barratry by attorneys or other persons, and to |
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| 18 | 20 | | recover any amount that may be awarded under Subsection (b). A |
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| 19 | 21 | | client who enters into a contract described by this subsection may |
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| 20 | 22 | | bring an action to recover any amount that may be awarded under |
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| 21 | 23 | | Subsection (b) [even if the contract is voided voluntarily]. |
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| 22 | 24 | | (d-1) A court shall impose a sanction in an amount provided |
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| 23 | 25 | | by Subsection (d-2) against an attorney who pursues an action under |
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| 24 | 26 | | this section on behalf of a client if: |
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| 25 | 27 | | (1) in the action under this section, the attorney’s |
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| 26 | 28 | | client fails to establish that the contract for legal services |
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| 27 | 29 | | related to the underlying action was improperly procured or |
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| 28 | 30 | | solicited as provided in Subsections (a) or (c); |
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| 29 | 31 | | (2) the court determines the action under this section |
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| 30 | 32 | | was groundless as defined in Section 9.001(3); and |
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| 31 | 33 | | (3) the attorney: |
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| 32 | 34 | | (A) represented the client in the underlying |
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| 33 | 35 | | action after the client terminated his or her relationship with the |
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| 34 | 36 | | defendant-attorney in the underlying action; or |
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| 35 | 37 | | (B) has or will receive a fee from the client’s |
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| 36 | 38 | | recovery in the underlying action. |
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| 37 | 39 | | (d-2) A sanction imposed against an attorney under |
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| 38 | 40 | | Subsection (d-1) shall: |
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| 39 | 41 | | (1) reimburse the defendant for the court costs and |
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| 40 | 42 | | reasonable attorney's fees incurred defending against the action; |
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| 41 | 43 | | and |
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| 42 | 44 | | (2) include an additional amount the court finds is |
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| 43 | 45 | | sufficient to deter the attorney who brought the action under this |
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| 44 | 46 | | section from bringing similar actions. |
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| 45 | 47 | | SECTION 3. The changes in law by this Act apply only to an |
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| 46 | 48 | | action filed on or after the effective date of this Act. |
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| 47 | 49 | | SECTION 4. This Act takes effect September 1, 2025. |
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