By Bosse H.B. No. 427 74R2682 PB-F A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the exclusion from coverage under the Texas 1-3 Unemployment Compensation Act of services performed by certain 1-4 securities representatives. 1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-6 SECTION 1. Subchapter E, Chapter 201, Labor Code, is 1-7 amended by adding Section 201.0725 to read as follows: 1-8 Sec. 201.0725. SERVICE AS SECURITIES REPRESENTATIVE. In 1-9 this subtitle, "employment" does not include services performed for 1-10 a private for-profit person by an individual as a securities 1-11 dealer, agent, or salesman if: 1-12 (1) the individual is engaged in performing an act or 1-13 transaction subject to the definition of "dealer," "agent," or 1-14 "salesman" under Section 4, The Securities Act (Article 581-4, 1-15 Vernon's Texas Civil Statutes); 1-16 (2) the individual is registered as a securities 1-17 dealer, agent, or salesman by the securities commissioner under The 1-18 Securities Act (Article 581-1 et seq., Vernon's Texas Civil 1-19 Statutes); 1-20 (3) substantially all the remuneration for the 1-21 performance of the services, whether paid in cash or otherwise, is 1-22 directly related to sales or other output, including the 1-23 performance of services, rather than the number of hours worked; 1-24 and 2-1 (4) the services performed by the individual are 2-2 performed under a written contract between the individual and the 2-3 person for whom the services are performed and the contract 2-4 provides that the individual is not treated as an employee with 2-5 respect to those services for federal tax purposes. 2-6 SECTION 2. This Act takes effect September 1, 1995, and 2-7 applies only to benefit eligibility based on a claim for 2-8 unemployment compensation benefits that is filed with the Texas 2-9 Employment Commission on or after that date. A claim filed before 2-10 that date is governed by the law in effect on the date that the 2-11 claim was filed, and the former law is continued in effect for that 2-12 purpose. 2-13 SECTION 3. The importance of this legislation and the 2-14 crowded condition of the calendars in both houses create an 2-15 emergency and an imperative public necessity that the 2-16 constitutional rule requiring bills to be read on three several 2-17 days in each house be suspended, and this rule is hereby suspended.