By:  Lucio                                             S.B. No. 447
       73R1320 CAG-F
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to regulation of private process servers; providing
    1-3  penalties.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  DEFINITIONS.  In this Act:
    1-6              (1)  "Person" means an individual.
    1-7              (2)  "Secretary" means the secretary of state.
    1-8        SECTION 2.  POWERS OF PRIVATE PROCESS SERVERS.  (a)  A person
    1-9  registered under this Act as a process server may serve civil
   1-10  process issued by the courts of this state in the manner provided
   1-11  by law for service by sheriffs and constables.  Any person serving
   1-12  civil process, other than a sheriff or constable, must be
   1-13  registered under this Act.  A person registered under this Act may
   1-14  serve civil process anywhere in the State of Texas.
   1-15        (b)  A registrant under this Act may serve a writ of
   1-16  garnishment but may not serve a writ of attachment, sequestration,
   1-17  or execution or other process providing for the seizure and
   1-18  detention of property.
   1-19        SECTION 3.  REGISTRATION APPLICATION.  (a)  To be registered
   1-20  under this Act, a person must:
   1-21              (1)  be at least 18 years of age;
   1-22              (2)  be a United States citizen and have had permanent
   1-23  residence in this state for at least one year;
   1-24              (3)  submit to the secretary, on a form prescribed by
    2-1  the secretary, a sworn application showing proof of at least two
    2-2  years experience in serving civil process or that the applicant was
    2-3  in the business of serving civil process before September 1, 1993;
    2-4              (4)  not have been convicted of:
    2-5                    (A)  a misdemeanor involving moral turpitude; or
    2-6                    (B)  a felony; and
    2-7              (5)  submit to the secretary, on a form prescribed by
    2-8  the secretary, a sworn application accompanied by proof of security
    2-9  having been deposited with the secretary as required by this Act, a
   2-10  $300 registration fee, and a $25 nonrefundable application fee.
   2-11        (b)  Each application must include a statement indicating
   2-12  compliance with Subsection (a) of this section.
   2-13        SECTION 4.  SECURITY DEPOSIT.  (a)  An applicant for
   2-14  registration must deposit security with the secretary in one of the
   2-15  following forms:
   2-16              (1)  $5,000 in cash;
   2-17              (2)  $5,000 in securities approved by the secretary; or
   2-18              (3)  a $5,000 bond payable to this state executed by an
   2-19  individual.
   2-20        (b)  The aggregate liability of a surety on the bond under
   2-21  Subsection (a)(3) of this section may not exceed $5,000.
   2-22        (c)  The security deposit shall be conditioned on the lawful
   2-23  performance of the functions of a process server and payment of any
   2-24  fines or penalties levied against the registrant for failure to
   2-25  comply with this Act.
   2-26        (d)  The security deposit shall be retained during the period
   2-27  beginning on the date the deposit is received and ending two years
    3-1  after the date of termination of the registration.  After the
    3-2  two-year period has elapsed, the secretary shall refund the
    3-3  security deposit on demonstration to the satisfaction of the
    3-4  secretary that an action is not pending against the former
    3-5  registrant for fines or penalties in connection with the
    3-6  performance of the registrant's functions as a process server.
    3-7        (e)  An action against a registrant for fines, penalties, or
    3-8  civil damages may not be commenced later than two years after the
    3-9  date of the act, event, or transaction on which the action is
   3-10  based.
   3-11        SECTION 5.  ISSUANCE OF REGISTRATION.  (a)  Not later than
   3-12  the 30th day after the date the application is received, the
   3-13  secretary shall issue a process server registration to an applicant
   3-14  who complies with Section 3 of this Act.
   3-15        (b)  The applicant is entitled to a full refund of the
   3-16  security deposit and the registration fee if the secretary fails to
   3-17  issue the registration during the period prescribed by Subsection
   3-18  (a) of this section.
   3-19        SECTION 6.  TERM OF REGISTRATION; RENEWAL.  (a)  A
   3-20  registration issued under this Act  expires one year from the date
   3-21  of issuance.
   3-22        (b)  The secretary shall send a renewal application to a
   3-23  registrant at least 30 days before the expiration of the
   3-24  registration.
   3-25        (c)  A registrant may renew the registration by submitting to
   3-26  the secretary before the expiration date of the registration, on a
   3-27  form prescribed by the secretary, a renewal application accompanied
    4-1  by a renewal fee in an amount to be determined by the secretary.
    4-2  The secretary shall periodically set renewal fees in an amount
    4-3  sufficient to cover the expenses of administering this Act less the
    4-4  amount of other revenues provided for in this Act.
    4-5        SECTION 7.  RECORDS.  (a)  A registrant shall maintain at the
    4-6  registrant's principal place of business records of the
    4-7  registrant's activities as a process server.  All records regarding
    4-8  the receiving and serving of civil process shall be kept in the
    4-9  same manner prescribed under the Texas Rules of Civil Procedure for
   4-10  constables and sheriffs.
   4-11        (b)  All returns of service shall be accompanied by the
   4-12  registration identification number.
   4-13        (c)  The secretary may require other records to be maintained
   4-14  by a registrant.
   4-15        (d)  The secretary may examine a registrant's records during
   4-16  normal business hours to determine whether the registrant is in
   4-17  compliance with this Act.
   4-18        (e)  On termination of a registration, the registrant shall
   4-19  deliver to the secretary, if requested, any records relating to the
   4-20  service of civil process.  Any unserved process in the registrant's
   4-21  custody or control shall be returned to the party who initiated the
   4-22  service of process.
   4-23        SECTION 8.  REVOCATION OR SUSPENSION OF REGISTRATION.  (a)
   4-24  The secretary shall suspend or revoke a process server
   4-25  registration,  as appropriate, if the secretary determines that:
   4-26              (1)  the registrant has violated this Act;
   4-27              (2)  the registrant has failed to maintain the security
    5-1  required by this Act;
    5-2              (3)  the registrant has failed to maintain the records
    5-3  required by this Act;
    5-4              (4)  the registrant has refused to permit an
    5-5  examination by the secretary of the records required to be
    5-6  maintained by this Act;
    5-7              (5)  the registrant has knowingly made a false or
    5-8  fraudulent return of service; or
    5-9              (6)  the registrant has been convicted of a misdemeanor
   5-10  involving moral turpitude or a felony.
   5-11        (b)  A proceeding before the secretary for the revocation or
   5-12  suspension of a registration and an appeal from that proceeding are
   5-13  governed by the Administrative Procedure and Texas Register Act
   5-14  (Article 6252-13a, Vernon's Texas Civil Statutes).
   5-15        SECTION 9.  FEES.  (a)  Fees received by the secretary under
   5-16  this Act shall be deposited in the state treasury to the credit of
   5-17  the general revenue fund.
   5-18        (b)  Fees charged and collected by a registrant for service
   5-19  of process may be charged as costs in a judicial proceeding.
   5-20        SECTION 10.  APPLICATION OF ACT.  (a)  This Act does not
   5-21  limit or restrict the service of process in the state as provided
   5-22  for by a court order.
   5-23        (b)  A registered process server is not a peace officer by
   5-24  virtue of this Act but is an officer of the court.
   5-25        SECTION 11.  COMPLAINTS.  The secretary shall establish a
   5-26  procedure for reporting and processing complaints relating to
   5-27  regulation of private process servers in this state.
    6-1        SECTION 12.  PENALTIES.  (a)  A person commits an offense if
    6-2  the person knowingly or intentionally violates this Act.
    6-3        (b)  A person commits an offense if the person knowingly or
    6-4  intentionally falsifies a return of civil process.
    6-5        (c)  An offense under Subsection (a) of this section is a
    6-6  Class A misdemeanor.  An offense under Subsection (b) of this
    6-7  section is a felony of the third degree.
    6-8        SECTION 13.  EFFECTIVE DATE.  This Act takes effect September
    6-9  1, 1993.
   6-10        SECTION 14.  EMERGENCY.  The importance of this legislation
   6-11  and the crowded condition of the calendars in both houses create an
   6-12  emergency and an imperative public necessity that the
   6-13  constitutional rule requiring bills to be read on three several
   6-14  days in each house be suspended, and this rule is hereby suspended.