Texas 2025 - 89th Regular

Texas House Bill HB4724 Compare Versions

Version 1 (Old)

Version 2 (New)

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1	1		By: Bonnen H.B. No. 4724
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4	6		A BILL TO BE ENTITLED
5	7		AN ACT
6	8		relating to the civil liability of nonprofit entities.
7	9		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	10		SECTION 1. Chapter 84, Civil Practice and Remedies Code, is
9	11		amended by adding Section 84.0068 to read as follows:
10	12		Sec. 84.0068. LIABILITY OF SINGLE SOURCE CONTINUUM
11	13		CONTRACTORS OR CERTAIN NONPROFIT ENTITIES PROVIDING FOSTER CARE OR
12	14		ADOPTION SERVICES. (a) Subject to Subsection (b) and except as
13	15		provided by Subsection (c), an entity described by Section
14	16		264.170(a), Family Code, may not be held liable for damages in
15	17		excess of the amounts provided by Section 84.006 for any act or
16	18		omission by a person who is an employee or volunteer of the entity
17	19		or a caregiver or clinical professional providing services to the
18	20		entity if, for each person, the entity has:
19	21		(1) conducted timely criminal background checks as
20	22		required by law;
21	23		(2) before hiring, contracting with, or otherwise
22	24		enlisting the services of the person and then at least once every
23	25		five years, confirmed the person is not listed in a state registry
24	26		or database that indicates the person is ineligible to supervise or
25	27		treat children;
26	28		(3) reported any known allegation of misconduct by the
27	29		person as required by law;
28	30		(4) taken appropriate administrative or personnel
29	31		action in response to misconduct by the person; and
30	32		(5) required the person to complete training for:
31	33		(A) child sexual abuse prevention at least once
32	34		every five years; and
33	35		(B) the reporting of child abuse and neglect.
34	36		(b) An entity described by Section 264.170(a), Family Code,
35	37		may only be held vicariously liable by a claimant for the act or
36	38		omission of a person who is an employee or volunteer of the entity
37	39		or a caregiver or clinical professional providing services to the
38	40		entity if the claimant shows:
39	41		(1) the entity was not in substantial compliance with
40	42		a requirement described by Subsection (a);
41	43		(2) the requirement was designed to prevent the
42	44		specific type of harm alleged to have occurred; and
43	45		(3) the entity's failure to be in substantial
44	46		compliance with the requirement was a substantial factor in
45	47		bringing about the harm.
46	48		(c) Subsection (a) does not affect the liability of an
47	49		entity described by Section 264.170(a), Family Code, arising from
48	50		an act or omission by the entity that constitutes gross negligence.
49	51		SECTION 2. Section 264.170, Family Code, is amended to read
50	52		as follows:
51	53		Sec. 264.170. LIMITED LIABILITY FOR SINGLE SOURCE CONTINUUM
52	54		CONTRACTOR OR NONPROFIT ENTITY CONTRACTED TO PROVIDE FOSTER CARE OR
53	55		ADOPTION SERVICES AND RELATED PERSONNEL. (a) A nonprofit entity
54	56		that contracts with the department to provide services as a single
55	57		source continuum contractor under this subchapter or a nonprofit
56	58		entity that contracts with the state or a single source continuum
57	59		contractor to provide foster care or adoption services is
58	60		considered to be a charitable organization for the purposes of
59	61		Chapter 84, Civil Practice and Remedies Code, with respect to the
60	62		provision of those services, and that chapter applies to the entity
61	63		and any person who is:
62	64		(1) an employee or volunteer of the entity; or
63	65		(2) a caregiver or clinical professional providing
64	66		services to the entity.
65	67		(b) The limitations on liability provided by this section
66	68		apply:
67	69		(1) only to an act or omission by the entity or person,
68	70		as applicable, that occurs:
69	71		(A) while the entity or person is acting within
70	72		the course and scope of the entity's contract with the department or
71	73		a single source continuum contractor; or
72	74		(B) while the person is acting within the course
73	75		and scope of [and] the person's duties for the entity; and
74	76		(2) only if insurance coverage in the minimum amounts
75	77		required by Chapter 84, Civil Practice and Remedies Code, is in
76	78		force and effect at the time a cause of action for personal injury,
77	79		death, or property damage accrues.
78	80		SECTION 3. Section 84.0068, Civil Practice and Remedies
79	81		Code, as added by this Act, and Section 264.170, Family Code, as
80	82		amended by this Act, apply only to a cause of action that accrues on
81	83		or after the effective date of this Act. A cause of action that
82	84		accrued before the effective date of this Act is governed by the law
83	85		as it existed immediately before the effective date of this Act, and
84	86		that law is continued in effect for that purpose.
85	87		SECTION 4. This Act takes effect September 1, 2025.