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A BILL TO BE ENTITLED
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AN ACT
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relating to the regulation of restaurants and third-party food |
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delivery services, including the issuance of certain alcoholic |
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beverage certificates to restaurants. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 1.04, Alcoholic Beverage Code, is |
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amended by adding Subdivision (29) to read as follows: |
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(29) "Restaurant" means a business that: |
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(A) operates its own permanent food service |
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facility with commercial cooking equipment on its premises; and |
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(B) prepares and offers to sell multiple entrees |
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for consumption on or off the premises. |
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SECTION 2. Section 25.13(a-1), Alcoholic Beverage Code, as |
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effective September 1, 2021, is amended to read as follows: |
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(a-1) A holder of a wine and malt beverage retailer's permit |
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may be issued a food and beverage certificate by the commission if: |
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(1) the permit holder is a restaurant; or |
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(2) the commission finds that the receipts from the |
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sale of alcoholic beverages by the permit holder at the location are |
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60 percent or less of the total receipts from the location. |
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SECTION 3. Section 28.18(a-1), Alcoholic Beverage Code, is |
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amended to read as follows: |
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(a-1) A holder of a mixed beverage permit may be issued a |
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food and beverage certificate by the commission if: |
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(1) the permit holder is a restaurant; or |
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(2) the commission finds that the receipts from the |
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sale of alcoholic beverages by the permit holder at the location are |
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60 percent or less of the total receipts from the location. |
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SECTION 4. Section 32.23(a-1), Alcoholic Beverage Code, is |
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amended to read as follows: |
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(a-1) A holder of a private club registration permit may be |
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issued a food and beverage certificate by the commission if: |
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(1) the permit holder is a restaurant; or |
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(2) the commission finds that the receipts from the |
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service of alcoholic beverages by the permit holder at the location |
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are 60 percent or less of the total receipts from the location. |
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SECTION 5. Section 69.16(a-1), Alcoholic Beverage Code, is |
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amended to read as follows: |
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(a-1) A holder of a retail dealer's on-premise license may |
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be issued a food and beverage certificate by the commission if: |
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(1) the license holder is a restaurant; or |
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(2) the commission finds that the receipts from the |
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sale of alcoholic beverages by the license holder at the location |
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are 60 percent or less of the total receipts from the location. |
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SECTION 6. Subtitle C, Title 5, Business & Commerce Code, is |
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amended by adding Chapter 114 to read as follows: |
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CHAPTER 114. THIRD-PARTY FOOD DELIVERY SERVICES |
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Sec. 114.0001. DEFINITIONS. In this chapter: |
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(1) "Mark" and "trade name" have the meanings assigned |
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by Section 16.001. |
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(2) "Restaurant" has the meaning assigned by Section |
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1.04, Alcoholic Beverage Code. |
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(3) "Third-party food delivery service" means a |
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website, mobile application, or other service that acts as an |
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intermediary between consumers and multiple restaurants not owned |
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or operated by the service to arrange for the delivery or pickup of |
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food or beverages from those restaurants. |
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Sec. 114.0002. PROHIBITED ACTS. A third-party food |
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delivery service may not: |
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(1) arrange for the delivery or pickup of food or |
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beverages from a restaurant in this state unless the service has |
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filed a certificate of formation or registration with the secretary |
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of state; |
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(2) use a restaurant's mark or trade name in connection |
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with the service in a misleading way that suggests the restaurant |
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sponsors or endorses the service; |
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(3) add a restaurant removed from the service under |
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Section 114.0003 to the service unless the service has received |
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written consent from the restaurant to add the restaurant to the |
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service; or |
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(4) charge a restaurant a fee or require the |
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restaurant to absorb a fee in connection with the service's |
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arrangement of an order from that restaurant unless the restaurant |
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has agreed to pay or absorb the fee under an agreement that meets |
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the requirements of Section 114.0004. |
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Sec. 114.0003. REQUIREMENTS FOR SERVICE. A third-party |
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food delivery service shall: |
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(1) provide a consumer a clearly identified mechanism |
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for the consumer to express concerns or complaints directly to the |
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service regarding an order arranged through the service; and |
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(2) remove a restaurant from the service not later |
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than the 10th day after the date the service receives a request from |
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the restaurant to be removed from the service if the service does |
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not have an agreement with the restaurant that meets the |
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requirements of Section 114.0004. |
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Sec. 114.0004. TERMS OF AGREEMENT WITH RESTAURANT. (a) An |
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agreement between a third-party food delivery service and a |
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restaurant must: |
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(1) be in writing; |
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(2) expressly authorize the service to arrange for the |
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delivery or pickup of food or beverages from that restaurant; and |
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(3) clearly state each fee, including a commission or |
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other charge, that the restaurant will be required to pay to the |
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service or absorb in connection with an order arranged through the |
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service. |
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(b) The agreement may not include any provision that |
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requires the restaurant to indemnify the third-party food delivery |
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service, including an employee or independent contractor of the |
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service, for claims or liabilities resulting from acts or omissions |
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of the service or of an employee or independent contractor of the |
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service. |
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(c) A provision in an agreement that violates Subsection (b) |
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is void and unenforceable. |
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Sec. 114.0005. PRIVATE CAUSE OF ACTION. (a) If a |
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third-party food delivery service violates this chapter, a |
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restaurant aggrieved by the violation may bring an action against |
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the service for: |
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(1) injunctive relief; and |
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(2) damages in an amount equal to: |
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(A) the restaurant's actual damages arising from |
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the violation; or |
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(B) the service's profits arising from the |
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violation. |
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(b) If the court finds that the defendant committed the |
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violation knowingly or in bad faith, the court may award the |
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plaintiff: |
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(1) exemplary damages in an amount that is not more |
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than three times the sum of: |
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(A) the plaintiff's actual damages; and |
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(B) the defendant's profits arising from the |
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violation; and |
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(2) the plaintiff's reasonable attorney's fees. |
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SECTION 7. Chapter 250, Local Government Code, is amended |
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by adding Section 250.011 to read as follows: |
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Sec. 250.011. THIRD-PARTY FOOD DELIVERY SERVICES. (a) In |
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this section, "third-party food delivery service" has the meaning |
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assigned by Section 114.0001, Business & Commerce Code. |
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(b) Notwithstanding any other law, a municipality or county |
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may not adopt or enforce an ordinance or regulation to the extent |
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that the ordinance or regulation affects the terms of agreements |
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between third-party food delivery services and restaurants that |
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meet the requirements of Section 114.0004(a), Business & Commerce |
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Code. |
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SECTION 8. Section 114.0004, Business & Commerce Code, as |
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added by this Act, applies only to an agreement entered into or |
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renewed on or after the effective date of this Act. |
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SECTION 9. This Act takes effect January 1, 2022. |