By: Cain H.B. No. 5439
A BILL TO BE ENTITLED
AN ACT
relating to limiting damages recoverable against alcohol beverage
providers for providing alcohol to certain individuals and
prohibiting claims by intoxicated persons or their estates for
injuries or death resulting from their own intoxication.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 106.14(a), Alcoholic Beverage Code, is
amended by amending Subsection (a) and adding Subsection (a-1) as
follows:
(a) For purposes of this chapter and any other provision of
this code relating to the sales, service, dispensing, or delivery
of alcoholic beverages to a person who is not a member of a private
club on the club premises, a minor, or an intoxicated person or the
consumption of alcoholic beverages by a person who is not a member
of a private club on the club premises, a minor, or an intoxicated
person, the actions of an employee shall not be attributable to the
employer if:
(1) the employer requires its employees to attend a
commission-approved seller training program;
(2) the employee has actually attended such a training
program; and
(3) the employer has not directly [or indirectly]
encouraged the employee to violate such law.
(a-1) For the purposes of this section, "employees" means
those employees that serve alcohol as part of their employment. The
term "employees" does not include those that do not serve alcohol as
part of their employment, including, but not limited to, cooks,
hosts, food runners, and dishwashers.
SECTION 2. Sections 2.01(2), Alcoholic Beverage Code, is
amended to read as follows:
(2) "Provision" includes, but is not limited to, the
sale or service of an alcoholic beverage. "Provision" does not
include the sale or service of food, beverages, or other items that
do not contain alcohol.
SECTION 3. Section 2.03, Alcoholic Beverage Code, is
amended by adding Subsection (d) to read as follows:
(d) Exemplary damages are not recoverable for a violation of
this chapter.
SECTION 4. Chapter 2, Alcoholic Beverage Code, is amended
by adding Section 2.04 to read as follows:
Sec. 2.04. RECOVERY BY INTOXICATED PERSONS. (a)
Notwithstanding any other provision of this chapter, a person who
becomes intoxicated as a result of consuming alcoholic beverages
provided by a provider licensed under this code, or their heirs,
assigns, or estate, shall have no cause of action against the
provider for damages arising from personal injury or death
sustained by the intoxicated person as a result of their own
intoxication.
(b) This limitation of liability does not affect the right
of an injured third party to bring a cause of action against a
provider under this chapter, nor does it affect the liability of an
adult that serves alcohol to a minor in violation of this chapter.
SECTION 5. The change in law made by this Act applies only
to a cause of action that accrues on or after the effective date of
this Act. A cause of action that accrues before the effective date
of this Act is governed by the law in effect immediately before that
date, and that law is continued in effect for that purpose.
SECTION 6. This Act takes effect September 1, 2025.