BILL ANALYSIS


                                                    C.S.S.B. 1306
                                                        By: Lucio
                                                    Jurisprudence
                                                           5-3-95
                                   Committee Report (Substituted)
BACKGROUND

A default judgment may be reversed against an out-of-state
defendant if the defendant has not received notice of the
proceeding.  The defendant may also have a default judgment
reversed even if there is an error in the way the case is pleaded
or if the person refuses to claim the person's certified mail, even
if the defendant did have actual notice of the pending proceeding
at an address previously agreed to in a written agreement.  The
out-of-state defendant must only file a "writ of error" stating
that the Texas resident did not follow the procedure for pleading
or service of process to the letter, possibly by leaving out
specific wording in the petition to the secretary of state, such as
"home or home office" when referring to the residence of the out-of-state defendant.

PURPOSE

As proposed, C.S.S.B. 1306 provides that a default judgment is not
invalidated if it is proved that the person against whom such
judgment was taken had received actual or constructive notice of
the lawsuit within a certain time period.

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 17.045, Civil Practice and Remedies Code,
by amending Subsections (a) and (d) and adding Subsection (f), as
follows:

     (a) Requires the secretary of state to require a statement
     from the party requesting service of the name and address of
     the nonresident's home or home office where the party
     requesting service reasonably believes the nonresident may be
     served with process.  Requires the secretary of state to
     immediately mail a copy of the process to the nonresident at
     the address specified in the statement from the party
     requesting service.
     
     (d) Makes conforming changes.
     
     (f) Provides that the process or notice is considered to have
     been received by a nonresident in the case of a default of
     judgment entered against a nonresident after service, even if
     the nonresident did not take possession of the process or
     notice on delivery, on proof that indicates that the
     nonresident, at least 30 days before the default judgment,
     actually knew or should have known about the action against
     the nonresident.
SECTION 2. Makes application of this Act prospective beginning
September 1, 1995.

SECTION 3. Emergency clause.
           Effective date: 90 days after adjournment.