Bill Text: TX HB2481 | 2011-2012 | 82nd Legislature | Introduced
Bill Title: Relating to the payment and distribution of consumer assistance funds in an action by the attorney general.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2011-04-18 - Left pending in committee [HB2481 Detail]
Download: Texas-2011-HB2481-Introduced.html
| 82R12290 DAK-F | ||
| By: Pena | H.B. No. 2481 | |
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| relating to the payment and distribution of consumer assistance | ||
| funds in an action by the attorney general. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Title 3, Civil Practice and Remedies Code, is | ||
| amended by adding Chapter 67 to read as follows: | ||
| CHAPTER 67. CONSUMER ASSISTANCE FUNDS IN ACTION BY ATTORNEY | ||
| GENERAL | ||
| Sec. 67.001. CONSUMER ASSISTANCE FUNDS. In an action | ||
| brought by the attorney general arising from conduct that violates | ||
| a consumer protection, public health, or general welfare law, the | ||
| court may enter a judgment or order for payment of restitution to be | ||
| distributed by the attorney general as provided by Section 67.003 | ||
| if the court determines that, based on the facts and circumstances | ||
| of the case: | ||
| (1) it is impossible or impracticable to identify | ||
| injured parties; | ||
| (2) it is impossible or impracticable to determine the | ||
| degree to which each claimant was injured and entitled to recover; | ||
| or | ||
| (3) the cost of administering a claim procedure is | ||
| prohibitive due to a low probability of recovery for each claimant. | ||
| Sec. 67.002. CREATION OF CONSUMER ASSISTANCE ACCOUNT. (a) | ||
| The consumer assistance account is created as a restitution account | ||
| in the departmental suspense account in the state treasury. The | ||
| account consists of consumer assistance funds paid under a court | ||
| judgment or order as provided by Section 67.001. Civil penalties, | ||
| costs, or attorney's fees may not be deposited in the account. | ||
| Funds in the account are held in trust for the benefit of charitable | ||
| entities as provided by Section 67.003. The attorney general shall | ||
| administer the account. | ||
| (b) The attorney general shall retain funds that are | ||
| designated as consumer assistance funds under a court judgment or | ||
| order and shall deposit the funds in the consumer assistance | ||
| account. | ||
| Sec. 67.003. USE OF CONSUMER ASSISTANCE FUNDS. (a) In this | ||
| section, "charitable entity" has the meaning assigned by Section | ||
| 123.001, Property Code. | ||
| (b) The attorney general shall distribute restitution paid | ||
| under a court judgment or order as provided by this chapter to one | ||
| or more charitable entities to fund programs that provide | ||
| assistance to consumers. The distribution must be in accordance | ||
| with the court judgment or order. The attorney general shall | ||
| notify: | ||
| (1) the Legislative Budget Board before the | ||
| distribution; and | ||
| (2) the court when the distribution is complete. | ||
| Sec. 67.004. RULEMAKING AUTHORITY. The attorney general | ||
| shall adopt rules as necessary to implement this chapter. To the | ||
| extent practicable, the rules must give priority to programs that | ||
| provide basic civil legal services in consumer law to persons of low | ||
| and moderate income. | ||
| Sec. 67.005. MEMORANDUM OF UNDERSTANDING. The attorney | ||
| general shall enter into a memorandum of understanding with the | ||
| supreme court for the administration and monitoring of consumer | ||
| legal assistance activities. | ||
| Sec. 67.006. COMMON LAW CY PRES. The provisions of this | ||
| chapter do not diminish the common law authority or other statutory | ||
| authority of the attorney general to seek and obtain cy pres | ||
| distribution from a court. | ||
| SECTION 2. The change in law made by this Act applies to | ||
| funds paid under a court judgment as provided by Section 67.001, | ||
| Civil Practice and Remedies Code, as added by this Act, that are | ||
| held in the attorney general's departmental suspense account on or | ||
| after the effective date of this Act, notwithstanding the fact that | ||
| the funds were paid into that account before the effective date of | ||
| this Act. | ||
| SECTION 3. This Act takes effect immediately if it receives | ||
| a vote of two-thirds of all the members elected to each house, as | ||
| provided by Section 39, Article III, Texas Constitution. If this | ||
| Act does not receive the vote necessary for immediate effect, this | ||
| Act takes effect September 1, 2011. | ||
