74R10592 DAK-D
          By Duncan, Junell, Hunter of Nueces, et al.              H.B. No. 6
          Substitute the following for H.B. No. 6:
          By Seidlits                                          C.S.H.B. No. 6
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to venue for certain civil actions.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Subchapter A, Chapter 15, Civil Practice and
    1-5  Remedies Code, is amended to read as follows:
    1-6           SUBCHAPTER A.  DEFINITIONS; GENERAL RULES <RULE>
    1-7        Sec. 15.001.  DEFINITIONS.  In this chapter:
    1-8              (1)  "Principal office" means a principal office of the
    1-9  corporation, unincorporated association, or partnership in this
   1-10  state in which the decision makers for the organization within this
   1-11  state conduct the daily affairs of the organization.
   1-12              (2)  "Proper venue" means:
   1-13                    (A)  the venue required by the mandatory
   1-14  provisions of Subchapter B or another statute prescribing mandatory
   1-15  venue; or
   1-16                    (B)  if Subdivision (A) does not apply, the venue
   1-17  provided by this subchapter or Subchapter C.
   1-18        Sec. 15.002.  VENUE:  GENERAL RULE.  (a) Except as otherwise
   1-19  provided by this subchapter or Subchapter B or C, all lawsuits
   1-20  shall be brought:
   1-21              (1)  in the county in which all or a substantial part
   1-22  of the events or omissions giving rise to the claim occurred;
   1-23              (2)  <cause of action accrued or> in the county of
   1-24  defendant's residence at the time the cause of action accrued if
    2-1  defendant is a natural person;
    2-2              (3)  in the county of the defendant's principal office
    2-3  in this state, if the defendant is not a natural person; or
    2-4              (4)  if Subdivisions (1), (2), and (3) do not apply, in
    2-5  the county in which the plaintiff resided at the time of the
    2-6  accrual of the cause of action.
    2-7        (b)  The court shall determine a single county as the
    2-8  principal office in this state for any defendant that is not a
    2-9  natural person and is doing business in this state.
   2-10        Sec. 15.003.  MULTIPLE PLAINTIFFS AND INTERVENING PLAINTIFFS.
   2-11  (a)  In a suit in which more than one plaintiff is joined, each
   2-12  plaintiff must, independently of any other plaintiff, establish
   2-13  proper venue.  Any person who is unable to establish proper venue
   2-14  may not join or maintain venue for the suit as a plaintiff unless
   2-15  the person, independently of any other plaintiff, establishes that:
   2-16              (1)  joinder or intervention in the suit is proper
   2-17  under the Texas Rules of Civil Procedure;
   2-18              (2)  maintaining venue in the county of suit does not
   2-19  unfairly prejudice another party to the suit;
   2-20              (3)  there is an essential need to have the person's
   2-21  claim tried in the county in which the suit is pending; and
   2-22              (4)  the county in which the suit is pending is a fair
   2-23  and convenient venue for the person seeking to join in or maintain
   2-24  venue for the suit and the persons against whom the suit is
   2-25  brought.
   2-26        (b)  A person may not intervene or join in a pending suit as
   2-27  a plaintiff unless the person, independently of any other
    3-1  plaintiff:
    3-2              (1)  establishes proper venue for the county in which
    3-3  the suit is pending; or
    3-4              (2)  satisfies the requirements of Subsections
    3-5  (a)(1)-(4).
    3-6        (c)  Any person seeking intervention or joinder who is unable
    3-7  to independently establish proper venue or a party opposing
    3-8  intervention or joinder of the person may contest the decision of
    3-9  the trial court allowing or denying intervention or joinder by
   3-10  taking an interlocutory appeal to the court of appeals district in
   3-11  which the trial court is located under the procedures established
   3-12  for interlocutory appeals.  The appeal must be perfected not later
   3-13  than the 20th day after the date the trial court signs the order
   3-14  denying or allowing the intervention or joinder.  The court of
   3-15  appeals shall:
   3-16              (1)  determine whether the joinder or intervention is
   3-17  proper based on an independent determination from the record and
   3-18  not under either an abuse of discretion or a substantial evidence
   3-19  standard; and
   3-20              (2)  render its decision not later than the 120th day
   3-21  after the date the appeal is perfected by the complaining party.
   3-22        Sec. 15.004.  MANDATORY VENUE PROVISION GOVERNS MULTIPLE
   3-23  CLAIMS.  In a suit in which a plaintiff properly joins two or more
   3-24  claims or causes of action arising from the same transaction,
   3-25  occurrence, or series of transactions or occurrences, and one of
   3-26  the claims or causes of action is governed by the mandatory venue
   3-27  provisions of Subchapter B, the suit shall be brought in the county
    4-1  required by the mandatory venue provision.
    4-2        Sec. 15.005.  MULTIPLE DEFENDANTS.  In a suit in which the
    4-3  plaintiff has established proper venue against a defendant, the
    4-4  court also has venue of all the defendants in all claims or actions
    4-5  arising out of the same transaction, occurrence, or series of
    4-6  transactions or occurrences.
    4-7        Sec. 15.006.  VENUE DETERMINED BY FACTS EXISTING AT THE TIME
    4-8  OF ACCRUAL.  A court shall determine the venue of a suit based on
    4-9  the facts existing at the time the cause of action that is the
   4-10  basis of the suit accrued.
   4-11        Sec. 15.007.  CONFLICT WITH CERTAIN PROVISIONS.
   4-12  Notwithstanding Sections 15.004, 15.005, and 15.031, to the extent
   4-13  that venue under this chapter for a suit by or against an executor,
   4-14  administrator, or guardian as such, for personal injury, death, or
   4-15  property damage conflicts with venue provisions under the Texas
   4-16  Probate Code, this chapter controls.
   4-17        SECTION 2.  Subchapter B, Chapter 15, Civil Practice and
   4-18  Remedies Code, is amended by amending Section 15.011 and by adding
   4-19  Sections 15.0115 and 15.018 to read as follows:
   4-20        Sec. 15.011.  LAND.  Actions for recovery of real property or
   4-21  an estate or interest in real property, for partition of real
   4-22  property, to remove encumbrances from the title to real property,
   4-23  for recovery of damages to real property, or to quiet title to real
   4-24  property shall be brought in the county in which all or a part of
   4-25  the property is located.
   4-26        Sec. 15.0115.  LANDLORD-TENANT.  (a)  Except as provided by
   4-27  another statute prescribing mandatory venue, a suit between a
    5-1  landlord and a tenant arising under a lease shall be brought in the
    5-2  county in which all or a part of the real property is located.
    5-3        (b)  In this section, "lease" means any written or oral
    5-4  agreement between a landlord and a tenant that establishes or
    5-5  modifies the terms, conditions, or other provisions relating to the
    5-6  use and occupancy of the real property that is the subject of the
    5-7  agreement.
    5-8        Sec. 15.018.  SUITS UNDER FELA OR THE JONES ACT.  A suit
    5-9  under the Federal Employers' Liability Act (45 U.S.C. Section 51 et
   5-10  seq.) or the Jones Act (46 U.S.C. Section 688) shall be brought in:
   5-11              (1)  the county in which all or a substantial part of
   5-12  the events or omissions giving rise to the claim occurred;
   5-13              (2)  the county in which the defendant's principal
   5-14  office in this state is located; or
   5-15              (3)  the county in which the plaintiff resided at the
   5-16  time the cause of action accrued.
   5-17        SECTION 3.  Sections 15.032 and 15.033, Civil Practice and
   5-18  Remedies Code, are amended to read as follows:
   5-19        Sec. 15.032.  INSURANCE.  Suit against fire, marine, or
   5-20  inland insurance companies may also be commenced in any county in
   5-21  which the insured property was situated.  A suit on a policy may be
   5-22  brought against any life insurance company, or accident insurance
   5-23  company, or life and accident, or health and accident, or life,
   5-24  health, and accident insurance company in the county in which the
   5-25  company's principal office in this state <home office of the
   5-26  company> is located or in the county in which the loss has occurred
   5-27  or in which the policyholder or beneficiary instituting the suit
    6-1  resided at the time the cause of action accrued <resides>.
    6-2        Sec. 15.033.  BREACH OF WARRANTY BY MANUFACTURER.  A suit for
    6-3  breach of warranty by a manufacturer of consumer goods may be
    6-4  brought in any county in which all or a substantial part of the
    6-5  cause of action accrued, in the <any> county in which the
    6-6  manufacturer has its <may have an agency or representative, in the
    6-7  county in which the> principal office in this state, <office of the
    6-8  company may be situated,> or in the county in which the plaintiff
    6-9  resided at the time the cause of action accrued <or plaintiffs
   6-10  reside>.
   6-11        SECTION 4.  Section 15.062, Civil Practice and Remedies Code,
   6-12  is amended to read as follows:
   6-13        Sec. 15.062.  COUNTERCLAIMS, CROSS CLAIMS, AND THIRD-PARTY
   6-14  CLAIMS.  (a)  Venue of the main action shall establish venue of a
   6-15  counterclaim, cross claim, or third-party claim properly joined
   6-16  under the Texas Rules of Civil Procedure or any applicable statute.
   6-17        (b)  If an original defendant properly joins a third party
   6-18  defendant, venue shall be proper for a claim arising out of the
   6-19  same transaction, occurrence, or series of transactions or
   6-20  occurrences by the plaintiff against the third-party defendant if
   6-21  the claim arises out of the subject matter of the plaintiff's claim
   6-22  against the original defendant.
   6-23        SECTION 5.  Subchapter D, Chapter 15, Civil Practice and
   6-24  Remedies Code, is amended by adding Sections 15.0641 and 15.0642 to
   6-25  read as follows:
   6-26        Sec. 15.0641.  VENUE RIGHTS OF MULTIPLE DEFENDANTS.  In a
   6-27  suit in which two or more defendants are joined, any action or
    7-1  omission by one defendant in relation to venue, including a waiver
    7-2  of venue by one defendant, does not operate to impair or diminish
    7-3  the right of any other defendant to properly challenge venue.
    7-4        Sec. 15.0642.  MANDAMUS.  (a)  A party may apply for a writ
    7-5  of mandamus with an appellate court to enforce the mandatory venue
    7-6  provisions of this chapter.
    7-7        (b)  An application for the writ of mandamus must be filed
    7-8  before the later of:
    7-9              (1)  the 90th day before the date the trial starts; or
   7-10              (2)  the 10th day after the date the party receives
   7-11  notice of the trial setting.
   7-12        SECTION 6.  Subchapter D, Chapter 15, Civil Practice and
   7-13  Remedies Code, is amended by adding Section 15.066 to read as
   7-14  follows:
   7-15        Sec. 15.066.  CONFLICT WITH RULES OF CIVIL PROCEDURE.
   7-16  Subject to Section 22.004, Government Code, to the extent that this
   7-17  chapter conflicts with the Texas Rules of Civil Procedure, this
   7-18  chapter controls.
   7-19        SECTION 7.  Section 17.56, Business & Commerce Code, is
   7-20  amended to read as follows:
   7-21        Sec. 17.56.  VENUE.  Except as provided by Article 5.06-1(8),
   7-22  Insurance Code, an <An> action brought which alleges a claim to
   7-23  relief under Section 17.50 of this subchapter shall be brought as
   7-24  provided by Chapter 15, Civil Practice and Remedies Code.  <may be
   7-25  commenced in the county in which the person against whom the suit
   7-26  is brought resides, has his principal place of business, or has a
   7-27  fixed and established place of business at the time the suit is
    8-1  brought or in the county in which the alleged act or practice
    8-2  occurred or in a county in which the defendant or an authorized
    8-3  agent of the defendant solicited the transaction made the subject
    8-4  of the action at bar.>
    8-5        SECTION 8.  Article 5.06-1, Insurance Code, is amended by
    8-6  adding Section (8) to read as follows:
    8-7        (8)  Notwithstanding Section 15.032, Civil Practice and
    8-8  Remedies Code, an action against an insurer in relation to the
    8-9  coverage provided under this article, including an action to
   8-10  enforce that coverage, may be brought only:
   8-11              (a)  in the county in which the policyholder or
   8-12  beneficiary instituting the suit resided at the time of the
   8-13  accident; or
   8-14              (b)  in the county in which the accident involving the
   8-15  uninsured or underinsured motor vehicle occurred.
   8-16        SECTION 9.  Section 92.007, Property Code, is amended to read
   8-17  as follows:
   8-18        Sec. 92.007.  VENUE.  Venue for an action under this chapter
   8-19  is governed by Section 15.0115, Civil Practice and Remedies Code
   8-20  <in the county in which the premises are located>.
   8-21        SECTION 10.  Sections 15.036, 15.037, 15.040, and 15.061,
   8-22  Civil Practice and Remedies Code, are repealed.
   8-23        SECTION 11.  (a)  Except as provided by Subsection (b) of
   8-24  this section, this Act applies only to a suit commenced on or after
   8-25  the effective date of this Act.  A suit commenced before the
   8-26  effective date of this Act is governed by the law applicable to the
   8-27  suit immediately before the effective date of this Act, and that
    9-1  law is continued in effect for that purpose.
    9-2        (b)  Venue under Section 15.018, Civil Practice and Remedies
    9-3  Code, as added by this Act, applies only to a suit commenced on or
    9-4  after January 1, 1996.  Venue under that section for a suit
    9-5  commenced before January 1, 1996, is governed by the law applicable
    9-6  to the suit immediately before the effective date of this Act, and
    9-7  that law is continued in effect for that purpose.
    9-8        SECTION 12.  The importance of this legislation and the
    9-9  crowded condition of the calendars in both houses create an
   9-10  emergency and an imperative public necessity that the
   9-11  constitutional rule requiring bills to be read on three several
   9-12  days in each house be suspended, and this rule is hereby suspended,
   9-13  and that this Act take effect and be in force from and after its
   9-14  passage, and it is so enacted.