By:  Henderson                                        S.B. No. 1227
                                 A BILL TO BE ENTITLED
                                        AN ACT
    1-1  relating to the offenses of barratry, falsely holding oneself out
    1-2  as a lawyer, and the unauthorized practice of law; providing
    1-3  penalties.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Subchapter C, Chapter 415, Government Code, is
    1-6  amended by adding Section 415.0581 to read as follows:
    1-7        Sec. 415.0581.  CONVICTION OF BARRATRY.  (a)  A person who
    1-8  has been convicted of barratry pursuant to Section 38.12, Penal
    1-9  Code, is disqualified to be an officer or county jailer.  The
   1-10  commission may not license such a person and shall on conviction
   1-11  immediately revoke the license of a person previously licensed.
   1-12        (b)  For the purposes of this section, a person is convicted
   1-13  of barratry if a court of competent jurisdiction enters an
   1-14  adjudication of guilt against the person, regardless of whether:
   1-15              (1)  the sentence is subsequently probated and the
   1-16  person is discharged from probation;
   1-17              (2)  the accusation, complaint, information, or
   1-18  indictment is dismissed following probation;
   1-19              (3)  the person is pardoned for the offense, unless the
   1-20  pardon is granted expressly for subsequent proof of innocence.
   1-21        SECTION 2.  Chapter 38, Penal Code, is amended by adding
   1-22  Sections 38.122 and 38.123 to read as follows:
   1-23        Sec. 38.122.  FALSELY HOLDING ONESELF OUT AS A LAWYER.
    2-1  (a)  A person commits an offense if, with intent to obtain an
    2-2  economic benefit for himself, the person holds himself out as a
    2-3  lawyer, unless he is currently licensed to practice law in this
    2-4  state, another state, or a foreign country and is in good standing
    2-5  with the State Bar of Texas and the state bar or licensing
    2-6  authority of any and all other states and foreign countries where
    2-7  licensed.
    2-8        (b)  For the purposes of Subsection (a) of this section,
    2-9  intent to obtain an economic benefit is presumed if the person
   2-10  accepts employment for a fee, accepts a fee, enters into a
   2-11  contingency fee contract, or accepts or agrees to accept money or
   2-12  any other economic benefit.
   2-13        (c)  An offense under Subsection (a) of this section is a
   2-14  felony of the third degree.
   2-15        (d)  Final conviction of falsely holding oneself out to be a
   2-16  lawyer is a serious crime for all purposes and acts, specifically
   2-17  including the State Bar Rules.
   2-18        Sec. 38.123.  UNAUTHORIZED PRACTICE OF LAW.  (a)  A person
   2-19  commits an offense if, with intent to obtain an economic benefit
   2-20  for himself, the person:
   2-21              (1)  contracts with any person to represent that person
   2-22  with regard to personal causes of action for property damages or
   2-23  personal injury;
   2-24              (2)  advises any person as to the person's rights and
   2-25  the advisability of making claims for personal injuries or property
    3-1  damages;
    3-2              (3)  advises any person as to whether or not to accept
    3-3  an offered sum of money in settlement of claims for personal
    3-4  injuries or property damages;
    3-5              (4)  enters into any contract with another person to
    3-6  represent that person in personal injury or property damage matters
    3-7  on a contingent fee basis with an attempted assignment of a portion
    3-8  of the person's cause of action; or
    3-9              (5)  enters into any contract with a third person which
   3-10  purports to grant the exclusive right to select and retain legal
   3-11  counsel to represent the individual in any legal proceeding.
   3-12        (b)  For the purposes of Subsection (a) of this section,
   3-13  intent to obtain an economic benefit is presumed if the person
   3-14  accepts employment for a fee, accepts a fee, enters into a
   3-15  contingent fee contract, or accepts or agrees to accept money or
   3-16  any other economic benefit.
   3-17        (c)  This section does not apply to a person currently
   3-18  licensed to practice law in this state, another state, or a foreign
   3-19  country, and in good standing with the State Bar of Texas and the
   3-20  state bar or licensing authority of any and all other states and
   3-21  foreign countries where licensed.
   3-22        (d)  Except as provided by Subsection (e) of this section, an
   3-23  offense under Subsection (a) of this section is a Class A
   3-24  misdemeanor.
   3-25        (e)  An offense under Subsection (a) of this section is a
    4-1  felony of the third degree if it is shown on the trial of the
    4-2  offense that the defendant has previously been convicted under
    4-3  Subsection (a) of this section.
    4-4        SECTION 3.  Section 215.034, Local Government Code, is
    4-5  amended to read as follows:
    4-6        Sec. 215.034.  SUSPENSION OR REVOCATION OF OCCUPATION
    4-7  LICENSE.  (a)  A judge of the municipal court, in addition to
    4-8  imposing a fine, may institute proceedings to suspend or revoke the
    4-9  license of a person if:
   4-10              (1)  the person is required, by law or by a municipal
   4-11  ordinance adopted under a law, to obtain the license from the
   4-12  municipality for an occupation, business, or avocation; and
   4-13              (2)  the judge finds the person guilty of violating a
   4-14  municipal ordinance relating to the occupation, business, or
   4-15  avocation or finds that the person has been convicted of barratry
   4-16  under Section 38.12, Penal Code.
   4-17        (b)  For the purpose of this section, a person is convicted
   4-18  of barratry if a court of competent jurisdiction enters an
   4-19  adjudication of guilt against the person, regardless of whether:
   4-20              (1)  the sentence is subsequently probated and the
   4-21  person is discharged from probation;
   4-22              (2)  the accusation, complaint, information, or
   4-23  indictment is dismissed following probation; or
   4-24              (3)  the person is pardoned for the offense, unless the
   4-25  pardon is granted expressly for subsequent proof of innocence.
    5-1        SECTION 4.  (a)  The change in law made by this Act applies
    5-2  only to an offense committed on or after the effective date of this
    5-3  Act.  For purposes of this section, an offense is committed before
    5-4  the effective date of this Act if any element of the offense occurs
    5-5  before the effective date.
    5-6        (b)  An offense committed before the effective date of this
    5-7  Act is covered by the law in effect when the offense was committed,
    5-8  and the former law is continued in effect for this purpose.
    5-9        SECTION 5.  This Act takes effect September 1, 1993.
   5-10        SECTION 6.  The importance of this legislation and the
   5-11  crowded condition of the calendars in both houses create an
   5-12  emergency and an imperative public necessity that the
   5-13  constitutional rule requiring bills to be read on three several
   5-14  days in each house be suspended, and this rule is hereby suspended.