BILL ANALYSIS S.B. 720 By: Henderson (Nixon) May 18, 1995 Committee Report (Unamended) BACKGROUND When the 73rd Legislature strengthened the barratry laws it made most of the prohibitions apply only to attorneys. The problems related to "ambulance chasing" go beyond the actions of attorneys to include other professionals. PURPOSE As proposed, S.B. 720 expands offenses for the offense of barratry. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 38.01, Penal Code, by amending Subdivision (11) and adding Subdivision (12) to redefine "solicit employment" and to define "professional." SECTION 2. Amends Sections 38.12, Penal Code, as follows: Sec. 38.12. New heading: BARRATRY AND SOLICITATION OF PROFESSIONAL EMPLOYMENT. (a) Provides that a person commits an offense if, with intent to obtain an economic benefit, the person pays, gives, or advances to a prospective client money or anything of value to obtain employment as a professional from the prospective client. (b) Provides that a person commits an offense if the person knowingly invests funds the person knows or believe are intended to further the commission of an offense under Subsection (a), or is a professional who knowingly accepts employment that results from the solicitation of employment in violation of Subsection (a). SECTION 3. Article 6701(d) Section 45 is amended as follows: The reference to Section 38.12(b)(1), Penal Code, is changed to Section 38.01(12). SECTION 4. Effective date: September 1, 1995. SECTION 5. Make application of this Act prospective. SECTION 6. Emergency clause. SUMMARY OF COMMITTEE ACTION SB 720 was considered by the full committee in a formal meeting on May 17, 1995. SB 720 was reported favorably without amendment, with the recommendation that it do pass and be printed, by a record vote of 7 ayes, 0 nays, 0 pnv, and 2 absent.