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.