Enrolled Bill Summary

Enrolled Bill Summary

Legislative Session: 85(R)

Senate Bill 813

Senate Author:  Hughes et al.

Effective:  Vetoed

House Sponsor:  Meyer


            Senate Bill 813 amends the Civil Practice and Remedies Code to create a cause of action for a claimant against whom a state agency takes a regulatory action that is frivolous, unreasonable, or without foundation and who has exhausted administrative remedies.

 

Governor's Reason for Veto: "State agencies should be held accountable when they abuse their authority. There are many ways to accomplish that goal other than by enticing trial lawyers to sue the taxpayers for damages. Senate Bill 813 is well-intentioned, but it subjects the State to the possibility of extensive financial liability. Under the bill, taxpayer liability would be triggered any time a judge decides the State's action is 'unreasonable,' a vague and broad standard that varies with the eye of the beholder. This financial liability would be borne by the taxpayers, not by the bureaucrats who caused the problem. The bill was inspired by legitimate concerns about regulatory overreach, but exposing the State fisc to limitless jury verdicts is not the right solution."