By Hunter of Nueces                                   H.B. No. 1095
       74R4932 DAK-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to tort reform.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4                           ARTICLE 1.  VENUE
    1-5        SECTION 1.01.  Subchapter A, Chapter 15, Civil Practice and
    1-6  Remedies Code, is amended to read as follows:
    1-7           SUBCHAPTER A.  DEFINITIONS; GENERAL RULES <RULE>
    1-8        Sec. 15.001.  DEFINITION.  In this chapter, "proper venue"
    1-9  means:
   1-10              (1)  the venue required by the mandatory provisions of
   1-11  this subchapter and Subchapter B; or
   1-12              (2)  if the mandatory provisions do not apply, the
   1-13  venue provided by the permissive provisions of Subchapter C.
   1-14        Sec. 15.002.  VENUE:  GENERAL RULE.  (a)  Notwithstanding any
   1-15  other provision of this chapter, including Sections 15.018 and
   1-16  15.0115, an action may be transferred to a county as provided by
   1-17  Subchapter F.
   1-18        (b)  Subject to Subsection (a) and except as provided by
   1-19  <Except as otherwise provided by this subchapter or> Subchapter B
   1-20  or C, all lawsuits shall be brought:
   1-21              (1)  in the county in which all or part of the cause of
   1-22  action accrued; <or>
   1-23              (2)  in the county of defendant's residence if
   1-24  defendant is a natural person;
    2-1              (3)  in the county of the defendant's principal place
    2-2  of business in this state, if the defendant is not a natural
    2-3  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        Sec. 15.003.  MULTIPLE PLAINTIFFS AND INTERVENING PLAINTIFFS.
    2-8  (a)  In a suit brought by more than one plaintiff, each plaintiff
    2-9  must, independent of any other plaintiff, establish proper venue
   2-10  under this chapter.
   2-11        (b)  A person seeking to intervene or join in a pending suit
   2-12  solely as a plaintiff seeking relief must, independent of any other
   2-13  plaintiff, establish proper venue under this chapter.
   2-14        Sec. 15.004.  MANDATORY VENUE PROVISION GOVERNS MULTIPLE
   2-15  CLAIMS.  In a suit in which a plaintiff properly joins two or more
   2-16  claims or causes of action, and one of the claims or causes of
   2-17  action is governed by the mandatory venue provisions of Subchapter
   2-18  B, the suit shall be brought in the county required by the
   2-19  mandatory venue provision.
   2-20        Sec. 15.005.  JOINDER OF DEFENDANTS AND CLAIMS AFTER
   2-21  PLAINTIFF ESTABLISHES PROPER VENUE.  In a suit brought by a
   2-22  plaintiff in which the plaintiff has established proper venue under
   2-23  this chapter against a defendant, the court also has venue of all
   2-24  the defendants in all claims or actions that may be properly joined
   2-25  by the plaintiff.
   2-26        Sec. 15.006.  PERMISSIVE VENUE RESTRICTED ON JOINDER OF
   2-27  DEFENDANTS.  (a)  This section applies only to a suit in which:
    3-1              (1)  two or more defendants are joined in the same
    3-2  suit; and
    3-3              (2)  venue for the suit is not governed by Subchapter
    3-4  B.
    3-5        (b)  A suit to which this section applies shall be brought:
    3-6              (1)  in the county in which all or part of the cause of
    3-7  action accrued; or
    3-8              (2)  if venue under Sections 15.002(b)(2) and (3) for
    3-9  each defendant joined in the suit is in the same county, in that
   3-10  county.
   3-11        (c)  The general rule for venue in Section 15.002 applies to
   3-12  a suit to which this section applies if:
   3-13              (1)  all or part of the cause of action did not accrue
   3-14  in this state; and
   3-15              (2)  venue under Sections 15.002(b)(2) and (3) for each
   3-16  defendant joined in the action is not in the same county.
   3-17        SECTION 1.02.  Subchapter B, Chapter 15, Civil Practice and
   3-18  Remedies Code, is amended by amending Section 15.011 and by adding
   3-19  Sections 15.0115 and 15.018 to read as follows:
   3-20        Sec. 15.011.  LAND.  Actions for recovery of real property or
   3-21  an estate or interest in real property, for partition of real
   3-22  property, to remove encumbrances from the title to real property,
   3-23  for recovery of damages to real property, or to quiet title to real
   3-24  property shall be brought in the county in which all or a part of
   3-25  the property is located.
   3-26        Sec. 15.0115.  LANDLORD-TENANT.  (a)  Except as provided by
   3-27  another statute prescribing mandatory venue, a suit between a
    4-1  landlord and a tenant arising under a lease shall be brought in the
    4-2  county in which all or a part of the real property is located.
    4-3        (b)  In this section, "lease" means any written or oral
    4-4  agreement between a landlord and a tenant that establishes or
    4-5  modifies the terms, conditions, or other provisions relating to the
    4-6  use and occupancy of the real property that is the subject of the
    4-7  agreement.
    4-8        Sec. 15.018.  PERSONAL INJURY, DEATH, OR PROPERTY DAMAGE.
    4-9  (a)  Except as provided by another statute prescribing mandatory
   4-10  venue, a suit for damages for personal injury, death, or property
   4-11  damage shall be brought in the county in which the personal injury,
   4-12  injury causing death, or property damage occurred.
   4-13        (b)  A suit for damages for personal injury, death, or
   4-14  property damage in which the personal injury, injury causing death,
   4-15  or property damage occurred outside this state shall be brought as
   4-16  provided by the general rule for venue in Section 15.002.
   4-17        (c)  If the plaintiff establishes that the county in which
   4-18  the personal injury, injury causing death, or property damage
   4-19  occurred cannot be determined, the general rule for venue in
   4-20  Section 15.002 applies.
   4-21        (d)  This section does not apply to a suit brought under:
   4-22              (1)  the Federal Employers Liability Act (45 U.S.C.
   4-23  Sec. 51 et seq.); or
   4-24              (2)  the Jones Act (46 U.S.C. Sec. 688).
   4-25        SECTION 1.03.  Section 15.032, Civil Practice and Remedies
   4-26  Code, is amended to read as follows:
   4-27        Sec. 15.032.  INSURANCE.  Suit against fire, marine, or
    5-1  inland insurance companies may also be commenced in any county in
    5-2  which the insured property was situated.  A suit on a policy may be
    5-3  brought against any life insurance company, or accident insurance
    5-4  company, or life and accident, or health and accident, or life,
    5-5  health, and accident insurance company in the county in which the
    5-6  company's principal place of business in this state <home office of
    5-7  the company> is located or in the county in which the loss has
    5-8  occurred or in which the policyholder or beneficiary instituting
    5-9  the suit resided at the time the cause of action accrued <resides>.
   5-10        SECTION 1.04.  Section 15.035, Civil Practice and Remedies
   5-11  Code, is amended by amending Subsection (a) and adding Subsection
   5-12  (c) to read as follows:
   5-13        (a)  Except as provided by Subsection (b), if a party
   5-14  <person> has contracted in writing to perform an obligation in a
   5-15  particular county, expressly naming the county or a definite place
   5-16  in that county by that writing, suit on or by reason of the
   5-17  obligation may be brought against that party <him> either in:
   5-18              (1)  that county;
   5-19              (2)  <or in> the county of defendant's residence if
   5-20  defendant is a natural person; or
   5-21              (3)  in the county of the defendant's principal place
   5-22  of business in this state, if the defendant is not a natural person
   5-23  <in which the defendant has his domicile>.
   5-24        (c)  The parties to a written contract may agree in writing
   5-25  to exclusive venue in the county of the residence or principal
   5-26  place of business of either party or in the county in which the
   5-27  contract is to be performed.  An agreement under this subsection
    6-1  must appear in a conspicuous place and in a conspicuous manner in
    6-2  the contract.  This subsection does not apply to a contract arising
    6-3  out of or based on a consumer obligation or consumer transaction
    6-4  for goods, a service, a loan, or an extension of credit intended
    6-5  primarily for personal, family, household, or agricultural use.
    6-6        SECTION 1.05.  Subchapter D, Chapter 15, Civil Practice and
    6-7  Remedies Code, is amended by adding Sections 15.0641-15.0644 to
    6-8  read as follows:
    6-9        Sec. 15.0641.  CHALLENGE OF WAIVER OF VENUE.  In a suit in
   6-10  which two or more defendants are joined, a waiver of venue by one
   6-11  defendant does not operate to establish venue on proper challenge
   6-12  by any other defendant.
   6-13        Sec. 15.0642.  REHEARING.  (a)  A court for which venue for
   6-14  an action has been found proper after a hearing under Section
   6-15  15.064 may, at its discretion, at any time during the pretrial or
   6-16  trial proceedings, on the motion of a party showing good cause or
   6-17  its own motion, conduct a rehearing to determine if venue is
   6-18  proper.
   6-19        (b)  The court may transfer the action to a county in which
   6-20  venue is proper if the court finds:
   6-21              (1)  information is before the court that was not
   6-22  before the court that conducted the initial venue hearing; and
   6-23              (2)  the new information establishes that the plaintiff
   6-24  does not have proper venue.
   6-25        Sec. 15.0643.  MANDAMUS.  A party may apply for a writ of
   6-26  mandamus with an appellate court to enforce the mandatory venue
   6-27  provisions of this chapter.
    7-1        Sec. 15.0644.  CERTAIN TRANSFERS NOT REVERSIBLE ERROR.
    7-2  Notwithstanding Section 15.064, the transfer of a lawsuit from one
    7-3  county of proper venue to another county of proper venue is not
    7-4  reversible error.
    7-5        SECTION 1.06.  Subchapter D, Chapter 15, Civil Practice and
    7-6  Remedies Code, is amended by adding Section 15.066 to read as
    7-7  follows:
    7-8        Sec. 15.066.  CONFLICT WITH RULES OF CIVIL PROCEDURE.
    7-9  Subject to Section 22.004, Government Code, to the extent that this
   7-10  chapter conflicts with the Texas Rules of Civil Procedure, this
   7-11  chapter controls.
   7-12        SECTION 1.07.  Chapter 15, Civil Practice and Remedies Code,
   7-13  is amended by adding Subchapter F to read as follows:
   7-14             SUBCHAPTER F.  TRANSFER OF MULTICOUNTY CASES
   7-15        Sec. 15.121.  DEFINITION.  In this subchapter, "panel" means
   7-16  the judicial panel on multicounty litigation.
   7-17        Sec. 15.122.  TRANSFER AUTHORIZED FOR COORDINATED AND
   7-18  CONSOLIDATED PRETRIAL PROCEEDINGS.  (a)  The judicial panel on
   7-19  multicounty litigation may transfer one or more civil actions to
   7-20  another county for coordinated or consolidated pretrial proceedings
   7-21  as provided by this subchapter.
   7-22        (b)  The panel may not transfer an action under this section
   7-23  unless:
   7-24              (1)  the action involves a question of fact common to
   7-25  another action pending in the county to which the action is to be
   7-26  transferred; and
   7-27              (2)  the panel finds that transfer of the action would
    8-1  be for the convenience of the parties and witnesses and would
    8-2  promote the just and efficient conduct of the action.
    8-3        Sec. 15.123.  TRANSFER FOR TRIAL; CONSOLIDATION ON AGREEMENT
    8-4  OF PARTIES.  The panel may transfer as provided by this subchapter
    8-5  an action for trial to another county in which the venue is proper
    8-6  venue for the convenience of the parties and witnesses and in the
    8-7  interest of justice.  The panel may consolidate one or more actions
    8-8  for trial only if all the parties to the actions agree to the
    8-9  consolidation.
   8-10        Sec. 15.124.  TRANSFER PROCEEDINGS; HEARING.  (a)  A party to
   8-11  an action may file a motion with the panel requesting transfer
   8-12  under this subchapter.  The party must file a copy of the motion in
   8-13  the court in which the action to be transferred is pending.
   8-14        (b)  The panel shall hold a hearing to determine whether to
   8-15  order the transfer of the action.
   8-16        (c)  The panel shall notify each party in each action that
   8-17  may be affected by the transfer that the panel has received a
   8-18  motion to transfer an action under this subchapter.  The notice
   8-19  must state the time and place of the hearing.
   8-20        (d)  A party to an action that may be affected by the
   8-21  transfer may offer evidence relevant to whether the transfer should
   8-22  be made.
   8-23        (e)  The panel's order must be supported by findings of fact
   8-24  and conclusions of law based on the record of the hearing.
   8-25        Sec. 15.125.  FILING OF ORDER.  (a)  The panel's order
   8-26  transferring an action is effective at the time it is filed in the
   8-27  office of the clerk of the court to which the action is being
    9-1  transferred.
    9-2        (b)  The clerk of the court shall, not later than the fifth
    9-3  day after the date the order is filed, transmit a certified copy of
    9-4  the panel's order to each court from which an action is being
    9-5  transferred.
    9-6        (c)  The panel shall file an order of the panel denying a
    9-7  motion to transfer an action in the court in which the action is
    9-8  pending.
    9-9        (d)  The panel shall file a copy of any order of the panel,
   9-10  including an order to set a hearing, in the office of the clerk of
   9-11  the court in which a transfer hearing is to be or has been held.
   9-12        Sec. 15.126.  JUDGE FOR COORDINATED OR CONSOLIDATED PRETRIAL
   9-13  PROCEEDINGS.  The panel shall assign one or more judges of the
   9-14  appropriate court in the county in which coordinated or
   9-15  consolidated pretrial proceedings are to be conducted to conduct
   9-16  the proceedings.
   9-17        Sec. 15.127.  REMAND TO ORIGINATING COUNTY.  (a)  The panel
   9-18  shall remand an action transferred under Section 15.122 to the
   9-19  county in which it originated not later than the conclusion of the
   9-20  pretrial proceedings.
   9-21        (b)  The panel may separate a claim, cross-claim,
   9-22  counterclaim, or third-party claim from the action and remand that
   9-23  claim to the originating county before remanding the remainder of
   9-24  the action.
   9-25        (c)  The panel may not remand an action or claim to the
   9-26  originating county after the claim has been settled or otherwise
   9-27  terminated.
   10-1        Sec. 15.128.  REVIEW OF ORDER OF PANEL.  (a)  Review of an
   10-2  order of the panel is by extraordinary writ.
   10-3        (b)  A petition for writ initially filed in a court of
   10-4  appeals to review an order transferring an action, and any
   10-5  subsequent order of the panel relating to that action, must be
   10-6  filed in the court of appeals that would have jurisdiction of an
   10-7  appeal from the court to which the action is to be transferred.
   10-8        (c)  A petition for a writ initially filed in a court of
   10-9  appeals to review an order of the panel other than an order
  10-10  described by Subsection (b) must be filed in the court with
  10-11  jurisdiction over the district in which the panel is sitting.
  10-12        Sec. 15.129.  MANDAMUS.  The supreme court, a court of
  10-13  appeals, or a justice of the supreme court or a court of appeals
  10-14  may issue a writ of mandamus against the panel and may issue other
  10-15  writs against the panel as necessary.
  10-16        Sec. 15.130.  JUDICIAL PANEL ON MULTICOUNTY LITIGATION.  (a)
  10-17  The judicial panel on multicounty litigation is appointed by the
  10-18  supreme court and is composed of seven justices and judges selected
  10-19  from the courts of appeals and district courts of this state.  The
  10-20  panel may not include more than two individuals from any court of
  10-21  appeals district.
  10-22        (b)  The members of the panel serve staggered six-year terms
  10-23  expiring February 1 of odd-numbered years.
  10-24        (c)  The supreme court shall fill any vacancy on the panel,
  10-25  including a vacancy caused by a judge on the panel leaving office.
  10-26        (d)  The concurrence of at least four members of the panel is
  10-27  required for any action of the panel.
   11-1        (e)  A member of the panel may not receive compensation for
   11-2  serving as a member of the panel.  The supreme court may reimburse
   11-3  a member of the panel for expenses actually incurred by the member
   11-4  in performing the member's duties.
   11-5        Sec. 15.131.  RULES.  The supreme court may adopt rules
   11-6  governing the operation of the panel as provided by Section 22.004,
   11-7  Government Code.
   11-8        SECTION 1.08.  Section 17.56, Business & Commerce Code, is
   11-9  amended to read as follows:
  11-10        Sec. 17.56.  Venue.  Except as provided by Sections 15.0115
  11-11  and 15.018, Civil Practice and Remedies Code, and Article
  11-12  5.06-1(8), Insurance Code, an <An> action brought which alleges a
  11-13  claim to relief under Section 17.50 of this subchapter shall be
  11-14  brought <may be commenced in the county in which the person against
  11-15  whom the suit is brought resides, has his principal place of
  11-16  business, or has a fixed and established place of business at the
  11-17  time the suit is brought or> in the county in which the alleged act
  11-18  or practice occurred or in a county in which the defendant or an
  11-19  authorized agent of the defendant solicited the transaction made
  11-20  the subject of the action at bar.
  11-21        SECTION 1.09.  Article 5.06-1, Insurance Code, is amended by
  11-22  adding Subsection (8) to read as follows:
  11-23        (8)  Notwithstanding Sections 15.018 and 15.032, Civil
  11-24  Practice and Remedies Code, an action against an insurer in
  11-25  relation to coverage provided under this article, including an
  11-26  action to enforce that coverage, may be brought only:
  11-27              (1)  in the county in which the plaintiff resided at
   12-1  the time of the accident; or
   12-2              (2)  in the county in which the accident involving the
   12-3  uninsured or underinsured motor vehicle occurred.
   12-4        SECTION 1.10.  Section 410.252, Labor Code, is amended by
   12-5  adding Subsection (c) to read as follows:
   12-6        (c)  Section 15.018, Civil Practice and Remedies Code, does
   12-7  not apply to the venue of a suit under this section.
   12-8        SECTION 1.11.  Section 92.007, Property Code, is amended to
   12-9  read as follows:
  12-10        Sec. 92.007.  VENUE.  Venue for an action under this chapter
  12-11  is governed by Section 15.0115, Civil Practice and Remedies Code
  12-12  <in the county in which the premises are located>.
  12-13        SECTION 1.12.  Sections 15.033, 15.036, 15.037, 15.040,
  12-14  15.061, and 15.062, Civil Practice and Remedies Code, are repealed.
  12-15        SECTION 1.13.  This article applies only to a suit filed on
  12-16  or after the effective date of this article.  A suit filed before
  12-17  the effective date of this article is governed by the law
  12-18  applicable to the suit immediately before the effective date of
  12-19  this article, and that law is continued in effect for that purpose.
  12-20        SECTION 1.14.  In making the initial appointments to the
  12-21  judicial panel on multicounty litigation, the supreme court shall
  12-22  appoint two members for terms expiring February 1, 1997, two
  12-23  members for terms expiring February 1, 1999, and three members for
  12-24  terms expiring February 1, 2001.
  12-25               ARTICLE 2.  PROPORTIONATE RESPONSIBILITY
  12-26        SECTION 2.01.  Chapter 33, Civil Practice and Remedies Code,
  12-27  is amended to read as follows:
   13-1        CHAPTER 33.  PROPORTIONATE <COMPARATIVE> RESPONSIBILITY
   13-2              <SUBCHAPTER A.  COMPARATIVE RESPONSIBILITY>
   13-3        Sec. 33.001.  DEFINITIONS.  In this chapter:
   13-4              (1)  "Claimant" means a party seeking recovery of
   13-5  damages, including a plaintiff, counterclaimant, cross-claimant, or
   13-6  third-party plaintiff seeking recovery of damages.  In an action in
   13-7  which a party seeks recovery of damages for injury to another
   13-8  person, damage to the property of another person, death of another
   13-9  person, or other harm to another person, "claimant" includes both
  13-10  that other person and the party seeking recovery of damages.
  13-11              (2)  "Defendant" includes any party from whom a
  13-12  claimant seeks recovery of damages at the time of the submission of
  13-13  the case to the trier of fact.
  13-14              (3)  "Liable defendant" means a defendant against whom
  13-15  a judgment can be entered for at least a portion of the damages
  13-16  awarded to the claimant.
  13-17              (4)  "Percentage of responsibility" means that
  13-18  percentage attributed by the trier of fact as provided by Section
  13-19  33.004.
  13-20              (5)  "Settling person" means a person who at the time
  13-21  of submission has paid or promised to pay money or anything of
  13-22  monetary value to a claimant at any time in consideration of
  13-23  potential liability with respect to the harm for which recovery of
  13-24  damages is sought.
  13-25        Sec. 33.002 <33.001>.  PROPORTIONATE <COMPARATIVE>
  13-26  RESPONSIBILITY.  <(a)>  In an action to which this chapter applies
  13-27  under Section 33.003 <recover damages for negligence resulting in
   14-1  personal injury, property damage, or death or an action for
   14-2  products liability grounded in negligence>, a claimant may recover
   14-3  damages only if the claimant's <his> percentage of responsibility
   14-4  is less than or equal to 50 percent.
   14-5        <(b)  In an action to recover damages for personal injury,
   14-6  property damage, or death in which at least one defendant is found
   14-7  liable on a basis of strict tort liability, strict products
   14-8  liability, or breach of warranty under Chapter 2, Business &
   14-9  Commerce Code, a claimant may recover damages only if his
  14-10  percentage of responsibility is less than 60 percent.>
  14-11        <(c)  In an action in which a claimant seeks damages for harm
  14-12  other than personal injury, property damage, or death, arising out
  14-13  of any action grounded in negligence, including but not limited to
  14-14  negligence relating to any professional services rendered by an
  14-15  architect, attorney, certified public accountant, real estate
  14-16  broker or agent, or engineer licensed by this state, a claimant may
  14-17  recover damages only if his percentage of responsibility is less
  14-18  than or equal to 50 percent.>
  14-19        Sec. 33.003 <33.002>.  APPLICABILITY.  (a)  Except as
  14-20  provided by Subsection (b), this chapter applies to any tort,
  14-21  including an action to recover damages for:
  14-22              (1)  negligence resulting in personal injury, property
  14-23  damage, or death;
  14-24              (2)  products liability grounded in negligence;
  14-25              (3)  personal injury, property damage, or death in
  14-26  which at least one defendant is found liable on a basis of strict
  14-27  tort liability, strict products liability, or breach of warranty
   15-1  under Chapter 2, Business & Commerce Code;
   15-2              (4)  harm, other than personal injury, property damage,
   15-3  or death, arising out of any action grounded in negligence,
   15-4  including negligence relating to any professional services rendered
   15-5  by an architect, attorney, certified public accountant, real estate
   15-6  broker or agent, or engineer licensed by this state; or
   15-7              (5)  an intentional act.  <This chapter does not apply
   15-8  to a claim based on an intentional tort or a claim for exemplary
   15-9  damages included in an action to which this chapter otherwise
  15-10  applies.>
  15-11        (b)  This chapter does not apply to:
  15-12              (1)  an action to collect workers' compensation
  15-13  benefits under the workers' compensation laws of this state
  15-14  (Subtitle A, Title 5, Labor Code) <(Article 8306 et seq., Vernon's
  15-15  Texas Civil Statutes)> or actions against an employer for exemplary
  15-16  damages arising out of the death of an employee;
  15-17              (2)  an action brought under the Deceptive Trade
  15-18  Practices-Consumer Protection Act (Subchapter E, Chapter 17,
  15-19  Business & Commerce Code) except as specifically provided in
  15-20  Section 17.50 of that Act; <or>
  15-21              (3)  an action brought under Chapter 21, Insurance
  15-22  Code; or
  15-23              (4)  a claim for exemplary damages included in an
  15-24  action to which this chapter applies.
  15-25        Sec. 33.004 <33.003>.  DETERMINATION OF PERCENTAGE OF
  15-26  <COMPARATIVE> RESPONSIBILITY.  The trier of fact, as to each cause
  15-27  of action asserted, shall determine the percentage of
   16-1  responsibility for the following persons with respect to their
   16-2  causing or contributing to cause in any way, including by negligent
   16-3  act or omission, by any defective or unreasonably dangerous
   16-4  product, by other conduct or activity that violates an applicable
   16-5  legal standard, or by any combination of these, the harm for which
   16-6  recovery of damages is sought:
   16-7              (1)  each claimant;
   16-8              (2)  each defendant; <and>
   16-9              (3)  each settling person; and
  16-10              (4)  any other person, subject to Section 33.005,
  16-11  without regard to whether that person was or could have been named
  16-12  as a party to the action.
  16-13        Sec. 33.005.  PERCENTAGE OF RESPONSIBILITY FOR A NONPARTY.
  16-14  (a)  The trier of fact may determine the percentage of
  16-15  responsibility for a person who is not a party to the action or is
  16-16  not a settling person only if the defendant files a pleading in the
  16-17  action stating:
  16-18              (1)  the person's name and last known address or, if
  16-19  the name and address is not known, the best identification of the
  16-20  person that is possible under the circumstances; and
  16-21              (2)  the basis for believing the person to be wholly or
  16-22  partially at fault.
  16-23        (b)  The defendant must file the pleading required by this
  16-24  section not later than the 90th day after the date the defendant is
  16-25  served  process in the action unless the court grants leave to file
  16-26  the pleading at a later time.
  16-27           <Sections 33.004-33.010 reserved for expansion>
   17-1                     <SUBCHAPTER B.  CONTRIBUTION>
   17-2        <Sec. 33.011.  DEFINITIONS.  In this chapter:>
   17-3              <(1)  "Claimant" means a party seeking recovery of
   17-4  damages pursuant to the provisions of Section 33.001, including a
   17-5  plaintiff, counterclaimant, cross-claimant, or third-party
   17-6  plaintiff seeking recovery of damages.  In an action in which a
   17-7  party seeks recovery of damages for injury to another person,
   17-8  damage to the property of another person, death of another person,
   17-9  or other harm to another person, "claimant" includes both that
  17-10  other person and the party seeking recovery of damages pursuant to
  17-11  the provisions of Section 33.001.>
  17-12              <(2)  "Defendant" includes any party from whom a
  17-13  claimant seeks recovery of damages pursuant to the provisions of
  17-14  Section 33.001 at the time of the submission of the case to the
  17-15  trier of fact.>
  17-16              <(3)  "Liable defendant" means a defendant against whom
  17-17  a judgment can be entered for at least a portion of the damages
  17-18  awarded to the claimant.>
  17-19              <(4)  "Percentage of responsibility" means that
  17-20  percentage attributed by the trier of fact to each claimant, each
  17-21  defendant, or each settling person with respect to causing or
  17-22  contributing to cause in any way, whether by negligent act or
  17-23  omission, by any defective or unreasonably dangerous product, by
  17-24  other conduct or activity violative of the applicable legal
  17-25  standard, or by any combination of the foregoing, the personal
  17-26  injury, property damage, death, or other harm for which recovery of
  17-27  damages is sought.>
   18-1              <(5)  "Settling person" means a person who at the time
   18-2  of submission has paid or promised to pay money or anything of
   18-3  monetary value to a claimant at any time in consideration of
   18-4  potential liability pursuant to the provisions of Section 33.001
   18-5  with respect to the personal injury, property damage, death, or
   18-6  other harm for which recovery of damages is sought.>
   18-7        <Sec. 33.012.  AMOUNT OF RECOVERY.  (a)  If the claimant is
   18-8  not barred from recovery under Section 33.001, the court shall
   18-9  reduce the amount of damages to be recovered by the claimant with
  18-10  respect to a cause of action by a percentage equal to the
  18-11  claimant's percentage of responsibility.>
  18-12        <(b)  If the claimant has settled with one or more persons,
  18-13  the court shall further reduce the amount of damages to be
  18-14  recovered by the claimant with respect to a cause of action by a
  18-15  credit equal to one of the following, as elected in accordance with
  18-16  Section 33.014:>
  18-17              <(1)  the sum of the dollar amounts of all settlements;
  18-18  or>
  18-19              <(2)  a dollar amount equal to the sum of the following
  18-20  percentages of damages found by the trier of fact:>
  18-21                    <(A)  5 percent of those damages up to $200,000;>
  18-22                    <(B)  10 percent of those damages from $200,001
  18-23  to $400,000;>
  18-24                    <(C)  15 percent of those damages from $400,001
  18-25  to $500,000; and>
  18-26                    <(D)  20 percent of those damages greater than
  18-27  $500,000.>
   19-1        <(c)  The amount of damages recoverable by the claimant may
   19-2  only be reduced once by the credit provided for in Subsection (b).>
   19-3        Sec. 33.006 <33.013>.  Amount of Liability.  (a)  This
   19-4  section applies only if a claimant is not barred from recovery
   19-5  under Section 33.002.
   19-6        (b)  A <Except as provided in Subsections (b) and (c), a>
   19-7  liable defendant is liable to a claimant only for an amount of
   19-8  damages calculated by multiplying the total amount of the
   19-9  claimant's damages as found by the trier of fact by the defendant's
  19-10  percentage of responsibility as found by the trier of fact.
  19-11        (c)  A court may not enter a judgment against a liable
  19-12  defendant that results in the defendant's being jointly liable for
  19-13  the claimant's damages.  <the percentage of the damages found by
  19-14  the trier of fact equal to that defendant's percentage of
  19-15  responsibility with respect to the personal injury, property
  19-16  damage, death, or other harm for which the damages are allowed.>
  19-17        <(b)  Notwithstanding Subsection (a), each liable defendant
  19-18  is, in addition to his liability under Subsection (a), jointly and
  19-19  severally liable for the damages recoverable by the claimant under
  19-20  Section 33.012 with respect to a cause of action if:>
  19-21              <(1)  the percentage of responsibility attributed to
  19-22  the defendant is greater than 20 percent; and>
  19-23              <(2)  only for a negligence action pursuant to Section
  19-24  33.001(a) or (c), the percentage of responsibility attributed to
  19-25  the defendant is greater than the percentage of responsibility
  19-26  attributed to the claimant.>
  19-27        <(c)  Notwithstanding Subsection (a), each liable defendant
   20-1  is, in addition to his liability under Subsection (a), jointly and
   20-2  severally liable for the damages recoverable by the claimant under
   20-3  Section 33.012 with respect to a cause of action if:>
   20-4              <(1)  no percentage of responsibility is attributed to
   20-5  the claimant and the percentage of responsibility attributed to the
   20-6  defendant is greater than 10 percent; or>
   20-7              <(2)  the claimant's personal injury, property damage,
   20-8  or death is caused by the depositing, discharge, or release into
   20-9  the environment of any hazardous or harmful substance as described
  20-10  in Subdivision (3); or>
  20-11              <(3)  the claimant's personal injury, property damage,
  20-12  or death resulted from a "toxic tort."  "Toxic tort" means a cause
  20-13  of action in tort or for breach of implied warranty under Chapter
  20-14  2, Business & Commerce Code, arising out of exposure to hazardous
  20-15  chemicals, hazardous wastes, hazardous hydrocarbons, similarly
  20-16  harmful organic or mineral substances, hazardous radiation sources,
  20-17  and other similarly harmful substances (which usually, but need not
  20-18  necessarily, arise in the work place), but not including any "drug"
  20-19  as defined in Section 81.001(3), Civil Practice and Remedies Code.>
  20-20        (d)  This section does not create a cause of action.
  20-21        <Sec. 33.014.  ELECTION OF CREDIT FOR SETTLEMENTS.  (a)  If a
  20-22  claimant has settled with one or more persons, an election must be
  20-23  made as to which dollar credit is to be applied under Section
  20-24  33.012(b).  This election shall be made by any defendant filing a
  20-25  written election before the issues of the action are submitted to
  20-26  the trier of fact and, when made, shall be binding on all
  20-27  defendants.  If no defendant makes this election or if conflicting
   21-1  elections are made, all defendants are considered to have elected
   21-2  Subdivision (2) of Section 33.012(b).>
   21-3        <Sec. 33.015.  CONTRIBUTION.  (a)  If a defendant who is
   21-4  jointly and severally liable under Section 33.013 pays a percentage
   21-5  of the damages for which the defendant is jointly and severally
   21-6  liable greater than his percentage of responsibility, that
   21-7  defendant has a right of contribution for the overpayment against
   21-8  each other liable defendant to the extent that the other liable
   21-9  defendant has not paid the percentage of the damages found by the
  21-10  trier of fact equal to that other defendant's percentage of
  21-11  responsibility.>
  21-12        <(b)  As among themselves, each of the defendants who is
  21-13  jointly and severally liable under Section 33.013 is liable for the
  21-14  damages recoverable by the claimant under Section 33.012 in
  21-15  proportion to his respective percentage of responsibility.  If a
  21-16  defendant who is jointly and severally liable pays a larger
  21-17  proportion of those damages than is required by his percentage of
  21-18  responsibility, that defendant has a right of contribution for the
  21-19  overpayment against each other defendant with whom he is jointly
  21-20  and severally liable under Section 33.013 to the extent that the
  21-21  other defendant has not paid the proportion of those damages
  21-22  required by that other defendant's percentage of responsibility.>
  21-23        <(c)  If for any reason a liable defendant does not pay or
  21-24  contribute the portion of the damages required by his percentage of
  21-25  responsibility, the amount of the damages not paid or contributed
  21-26  by that defendant shall be paid or contributed by the remaining
  21-27  defendants who are jointly and severally liable for those damages.
   22-1  The additional amount to be paid or contributed by each of the
   22-2  defendants who is jointly and severally liable for those damages
   22-3  shall be in proportion to his respective percentage of
   22-4  responsibility.>
   22-5        <(d)  No defendant has a right of contribution against any
   22-6  settling person.>
   22-7        <Sec. 33.016.  CLAIM AGAINST CONTRIBUTION DEFENDANT.  (a)  In
   22-8  this section, "contribution defendant" means any defendant, counter
   22-9  defendant, or third-party defendant from whom any party seeks
  22-10  contribution with respect to any portion of damages for which that
  22-11  party may be liable, but from whom the claimant seeks no relief at
  22-12  the time of submission.>
  22-13        <(b)  Each liable defendant is entitled to contribution from
  22-14  each person who is not a settling person and who is liable to the
  22-15  claimant for a percentage of responsibility but from whom the
  22-16  claimant seeks no relief at the time of submission.  A party may
  22-17  assert this contribution right against any such person as a
  22-18  contribution defendant in the claimant's action.>
  22-19        <(c)  The trier of fact shall determine as a separate issue
  22-20  or finding of fact the percentage of responsibility with respect to
  22-21  each contribution defendant and these findings shall be solely for
  22-22  purposes of this section and Section 33.015 and not as a part of
  22-23  the percentages of responsibility determined under Section 33.003.
  22-24  Only the percentage of responsibility of each defendant and
  22-25  contribution defendant shall be included in this determination.>
  22-26        <(d)  As among liable defendants, including each defendant
  22-27  who is jointly and severally liable under Section 33.013, each
   23-1  contribution defendant's percentage of responsibility is to be
   23-2  included for all purposes of Section 33.015.  The amount to be
   23-3  contributed by each contribution defendant pursuant to Section
   23-4  33.015 shall be in proportion to his respective percentage of
   23-5  responsibility relative to the sum of percentages of responsibility
   23-6  of all liable defendants and liable contribution defendants.>
   23-7        SECTION 2.02.  Section 32.001, Civil  Practice and Remedies
   23-8  Code, is amended by adding Subsection (c) to read as follows:
   23-9        (c)  This chapter does not apply to an action to which
  23-10  Chapter 33 applies.
  23-11        SECTION 2.03.  This article takes effect September 1, 1995,
  23-12  and applies only to a cause of action that accrues on or after that
  23-13  date.  A cause of action that accrued before the effective date of
  23-14  this article is governed by the law in effect at the time the
  23-15  action accrued, and that law is continued in effect for that
  23-16  purpose.
  23-17                     ARTICLE 3.  EXEMPLARY DAMAGES
  23-18        SECTION 3.01.  Chapter 41, Civil Practice and Remedies Code,
  23-19  is amended to read as follows:
  23-20                    CHAPTER 41.  EXEMPLARY DAMAGES
  23-21        Sec. 41.001.  DEFINITIONS.  In this chapter:
  23-22              (1)  "Claimant" means a party, including a plaintiff,
  23-23  counterclaimant, cross-claimant, or third-party plaintiff, seeking
  23-24  recovery of exemplary damages.  In a cause of action in which a
  23-25  party seeks recovery of exemplary damages related to injury to
  23-26  another person, damage to the property of another person, death of
  23-27  another person, or other harm to another person, "claimant"
   24-1  includes both that other person and the party seeking recovery of
   24-2  exemplary damages.
   24-3              (2)  "Defendant" means a party, including a
   24-4  counterdefendant, cross-defendant, or third-party defendant, from
   24-5  whom a claimant seeks relief with respect to exemplary damages.
   24-6              (3)  "Economic damages"  means damages for pecuniary
   24-7  loss, including damages for loss of or damage to property and
   24-8  damages for lost wages, loss of earning capacity, expenses for
   24-9  medical care, and burial expenses.  The term does not include
  24-10  damages for pain and suffering, mental anguish, loss associated
  24-11  with disfigurement, or loss of companionship or consortium.
  24-12              (4)  "Exemplary damages" means any damages awarded as
  24-13  <an example to others, as> a penalty<,> or by way of punishment.
  24-14  "Exemplary damages" includes punitive damages.
  24-15              (5) <(4)>  "Fraud" means fraud other than constructive
  24-16  fraud.
  24-17              <(5)  "Gross negligence" means more than momentary
  24-18  thoughtlessness, inadvertence, or error of judgment.  It means such
  24-19  an entire want of care as to establish that the act or omission was
  24-20  the result of actual conscious indifference to the rights, safety,
  24-21  or welfare of the person affected.>
  24-22              (6)  "Malice" means:
  24-23                    (A)  a specific intent <conduct that is
  24-24  specifically intended> by the defendant to cause substantial injury
  24-25  to the claimant; or
  24-26                    (B)  <an act that is carried out by the defendant
  24-27  with a> flagrant disregard by the defendant for the rights of
   25-1  others and <with> actual awareness on the part of the defendant
   25-2  that the act or omission will, in reasonable probability, result in
   25-3  human death, great bodily injury <harm>, or property damage.
   25-4              (7)  "Owner" means a person who, in whole or in part,
   25-5  owns, operates, manages, leases, subleases, controls, assumes
   25-6  control of, or derives a benefit from any real property.  The term
   25-7  includes an employee or agent of an owner.
   25-8        Sec. 41.002.  APPLICABILITY.  (a)  This chapter applies to
   25-9  any <an> action in which a claimant seeks exemplary damages
  25-10  relating to a cause of action <as defined by Section 33.001>.
  25-11        (b)  This chapter establishes the maximum exemplary damages
  25-12  that may be awarded in an action subject to this chapter, including
  25-13  an action for which exemplary damages are awarded under another law
  25-14  of this state.  This chapter does not apply to the extent another
  25-15  law establishes a lower maximum amount of exemplary damages for a
  25-16  particular claim<:>
  25-17              <(1)  an action brought under the Deceptive Trade
  25-18  Practices-Consumer Protection Act (Subchapter E, Chapter 17,
  25-19  Business & Commerce Code)  except as specifically provided in
  25-20  Section 17.50 of that Act;>
  25-21              <(2)  an action brought under Chapter 21, Insurance
  25-22  Code;>
  25-23              <(3)  an action brought under the workers' compensation
  25-24  laws of this state (Article 8306 et seq., Revised Statutes);>
  25-25              <(4)  an action to recover exemplary damages against an
  25-26  employer by the employee's beneficiaries in a death action arising
  25-27  out of the course and scope of employment where the employer is a
   26-1  subscriber under the workers' compensation laws of this state
   26-2  (Article 8306 et seq., Revised Statutes);>
   26-3              <(5)  an action brought under Chapter 246, Acts of the
   26-4  63rd Legislature, Regular Session, 1973, Home Solicitation
   26-5  Transactions (Article 5069-13.01 et seq., Vernon's Texas Civil
   26-6  Statutes);>
   26-7              <(6)  an action brought under Chapter 547, Acts of the
   26-8  63rd Legislature, Regular Session, 1973, Debt Collection Practices
   26-9  (Article 5069-11.01 et seq., Vernon's Texas Civil Statutes);>
  26-10              <(7)  an action brought under Chapter 54, 91, or 92,
  26-11  Property Code;>
  26-12              <(8)  an action brought under the Texas Manufactured
  26-13  Housing Standards Act (Article 5221f, Vernon's Texas Civil
  26-14  Statutes);>
  26-15              <(9)  an action brought under the Texas Motor Vehicle
  26-16  Commission Code (Article 4413(36), Vernon's Texas Civil Statutes);>
  26-17              <(10)  an action brought under the Texas Proprietary
  26-18  School Act, Chapter 32, Education Code;>
  26-19              <(11)  an action brought under Section 9.507 or Section
  26-20  27.01, Business & Commerce Code;>
  26-21              <(12)  an action brought under Chapter 36, Family Code;>
  26-22              <(13)  an action brought under the Health Spa Act
  26-23  (Article 5221l, Vernon's Texas Civil Statutes);>
  26-24              <(14)  an action brought under the Business Opportunity
  26-25  Act (Article 5069-16.01 et seq., Vernon's Texas Civil Statutes); or>
  26-26              <(15)  an action brought under the Texas Timeshare Act
  26-27  (Article 6573c, Vernon's Texas Civil Statutes)>.
   27-1        (c)  Except as provided by Subsection (b), in <In> an action
   27-2  to which this chapter applies, the provisions of this chapter
   27-3  prevail over all other law to the extent of any conflict.
   27-4        Sec. 41.003.  STANDARDS FOR RECOVERY OF EXEMPLARY DAMAGES.
   27-5  (a)  Except as provided by Subsection (c) and Section 41.004,
   27-6  exemplary <Exemplary> damages may be awarded only if the claimant
   27-7  proves that the <personal injury, property damage, death, or other>
   27-8  harm with respect to which the claimant seeks recovery of exemplary
   27-9  damages results from:
  27-10              (1)  fraud; or
  27-11              (2)  malice<; or>
  27-12              <(3)  gross negligence>.
  27-13        (b)  The claimant must prove the elements of exemplary
  27-14  damages as provided by this section beyond a reasonable doubt
  27-15  <Subsection (a)(1), (a)(2), or (a)(3)>.  This burden of proof may
  27-16  not be shifted to the defendant or satisfied by evidence of
  27-17  ordinary negligence, bad faith, or a deceptive trade practice.
  27-18        (c)  If the claimant relies on a statute establishing a cause
  27-19  of action and authorizing exemplary damages in specified
  27-20  circumstances or in conjunction with a specified culpable mental
  27-21  state, exemplary damages may be awarded only if the claimant proves
  27-22  that the damages result from the specified circumstances or
  27-23  culpable mental state.
  27-24        Sec. 41.004.  STANDARDS FOR RECOVERY OF EXEMPLARY DAMAGES IN
  27-25  CERTAIN ACTIONS.  (a)  In an action governed by Section 26, Article
  27-26  XVI, Texas Constitution, exemplary damages may be awarded if the
  27-27  claimant proves beyond a reasonable doubt that the death with
   28-1  respect to which the claimant seeks recovery of exemplary damages
   28-2  results from a wilful act or omission or from gross neglect.
   28-3        (b)  For purposes of this section, gross neglect means more
   28-4  than momentary thoughtlessness, inadvertence, or error of judgment.
   28-5        (c)  To prove gross neglect, the claimant must establish
   28-6  that:
   28-7              (1)  the defendant's act or omission created an extreme
   28-8  risk of serious harm to the person affected by the act or omission;
   28-9  and
  28-10              (2)  at the time of the act or omission, the defendant
  28-11  had actual subjective knowledge that the act or omission created an
  28-12  extreme risk of serious harm to the person affected by the act or
  28-13  omission.
  28-14        Sec. 41.005.  FACTORS PRECLUDING RECOVERY.  (a)  Except as
  28-15  provided by Subsection (b), exemplary <Exemplary> damages may be
  28-16  awarded only if damages other than nominal damages are awarded.
  28-17        (b)  A claimant may recover exemplary damages, even if only
  28-18  nominal damages are awarded, if the claimant establishes, beyond a
  28-19  reasonable doubt, that the harm with respect to which the claimant
  28-20  seeks recovery of exemplary damages results from malice as
  28-21  described by Section 41.001(6)(A).  <Exemplary damages may not be
  28-22  awarded to a claimant who elects to have his recovery multiplied
  28-23  under another statute.>
  28-24        Sec. 41.006.  MULTIPLE AWARDS AGAINST DEFENDANT.  (a)  Except
  28-25  as provided by Subsection (d), a court may not award exemplary
  28-26  damages to a claimant if:
  28-27              (1)  exemplary damages have been previously awarded
   29-1  against the defendant by a court; and
   29-2              (2)  the harm with respect to which the claimant seeks
   29-3  recovery of exemplary damages resulted from the same act or course
   29-4  of conduct that formed the basis of the previous exemplary damage
   29-5  award.
   29-6        (b)  On request of a defendant, the court shall conduct a
   29-7  pretrial hearing at which the defendant may present evidence that
   29-8  exemplary damages have been previously awarded against the
   29-9  defendant for the same act or course of conduct that formed the
  29-10  basis of the action.
  29-11        (c)  Except as provided by Subsection (d), if the defendant
  29-12  at the pretrial hearing presents prima facie evidence of a previous
  29-13  award of exemplary damages as described by Subsection (a), the
  29-14  claimant may not present a claim for exemplary damages during the
  29-15  trial of the action.
  29-16        (d)  Subsections (a) and (c) do not apply if the claimant
  29-17  establishes at the pretrial hearing that:
  29-18              (1)  substantial evidence of malice, fraud, or other
  29-19  circumstances or culpable mental state described by Section
  29-20  41.003(c) relating to the act or course of conduct exists; and
  29-21              (2)  that evidence was not available at the time the
  29-22  previous exemplary damage award was entered.
  29-23        (e)  If the claimant makes the showing required by Subsection
  29-24  (d), the court shall reduce the amount of exemplary damages awarded
  29-25  to the claimant, if any, by the amount of all previous exemplary
  29-26  damage awards against the defendant based on the same act or course
  29-27  of conduct.
   30-1        (f)  For purposes of this section, the manufacture of
   30-2  multiple identical individual units of a product line is a single
   30-3  act or course of conduct.
   30-4        Sec. 41.007.  HARM RESULTING FROM REGULATED ACTIVITY.  (a)
   30-5  Except as provided by Subsections (b) and (c), a court may not
   30-6  award a claimant exemplary damages if the harm with respect to
   30-7  which the claimant seeks recovery of exemplary damages results
   30-8  from:
   30-9              (1)  conduct or a product that is subject to regulation
  30-10  by an agency of this state or the United States; or
  30-11              (2)  a product whose design, formulation, testing,
  30-12  packaging, labeling, or warning was approved or certified before
  30-13  sale by an agency of this state or the United States.
  30-14        (b)  A court may award a claimant exemplary damages in the
  30-15  circumstances described by Subsection (a)(1) if the claimant proves
  30-16  that the defendant did not comply with applicable regulations
  30-17  promulgated by the regulating agency.
  30-18        (c)  Subsection (a) does not apply if the claimant proves
  30-19  that the defendant:
  30-20              (1)  knowingly and in violation of law withheld or
  30-21  misrepresented material information required to be submitted to the
  30-22  regulating agency; or
  30-23              (2)  made an illegal payment to an official of the
  30-24  regulating agency to secure approval of the conduct or product in
  30-25  question.
  30-26        Sec. 41.008.  HARM RESULTING FROM CRIMINAL ACT.  In an action
  30-27  arising from a loss, injury, or death resulting from an assault,
   31-1  theft, or another criminal act, a court may not award exemplary
   31-2  damages against an owner of real property on which the criminal act
   31-3  occurred, in whole or in part, or on which the resulting harm
   31-4  occurred, in whole or in part, unless the owner is an active
   31-5  participant, acting with malice, in the criminal act.
   31-6        Sec. 41.009 <41.005>.  AWARD SPECIFIC TO DEFENDANT.  In any
   31-7  action in which there are two or more defendants, an award of
   31-8  exemplary damages must be specific as to a defendant, and each
   31-9  defendant is liable only for the amount of the award made against
  31-10  that defendant.
  31-11        Sec. 41.010 <41.006>.  PREJUDGMENT INTEREST.  Prejudgment
  31-12  interest may not be assessed or recovered on an award of exemplary
  31-13  damages.
  31-14        Sec. 41.011 <41.007>.  LIMITATION ON AMOUNT OF RECOVERY.  (a)
  31-15  In an action in which a claimant seeks recovery of exemplary
  31-16  damages, the trier of fact shall determine the amount of economic
  31-17  damages separately from the amount of other compensatory damages.
  31-18        (b)  Exemplary <Except as provided by Section 41.008,
  31-19  exemplary> damages awarded against a defendant may not exceed two
  31-20  <four> times the amount of economic <actual> damages or $200,000,
  31-21  whichever is greater.
  31-22        (c)  The provisions of Subsection (b) may not be made known
  31-23  to a jury by any means, including voir dire, introduction into
  31-24  evidence, argument, or instruction.
  31-25        Sec. 41.012.  BIFURCATED TRIAL.  (a)  On motion by a
  31-26  defendant, the court shall provide for a bifurcated trial under
  31-27  this section.  A motion under this subsection must be made before
   32-1  the defendant is asked to announce ready for trial or at a
   32-2  different time specified by a pretrial court order issued under
   32-3  Rule 166, Texas Rules of Civil Procedure.
   32-4        (b)  In an action with more than one defendant, the court
   32-5  shall provide for a bifurcated trial on motion of any defendant.
   32-6        (c)  In the first phase of a bifurcated trial, the trier of
   32-7  fact shall determine:
   32-8              (1)  liability for compensatory and exemplary damages;
   32-9  and
  32-10              (2)  the amount of compensatory damages.
  32-11        (d)  If liability for exemplary damages is established during
  32-12  the first phase of a bifurcated trial, the trier of fact shall, in
  32-13  the second phase of the trial, determine the amount of exemplary
  32-14  damages to be awarded, if any.
  32-15        (e)  Evidence that is relevant only to the amount of
  32-16  exemplary damages that may be awarded is not admissible during the
  32-17  first phase of a bifurcated trial.
  32-18        Sec. 41.013.  UNANIMOUS JURY.  In a trial to a jury,
  32-19  exemplary damages may not be awarded unless the jury unanimously
  32-20  finds that the defendant is liable for exemplary damages in
  32-21  accordance with Section 41.003.
  32-22        Sec. 41.014.  CONSIDERATIONS IN MAKING AWARD.  (a)  Before
  32-23  making an award of exemplary damages, the trier of fact shall
  32-24  consider the definition and purposes of exemplary damages as
  32-25  provided by Section 41.001.
  32-26        (b)  The determination of whether to award exemplary damages
  32-27  and the amount of exemplary damages to be awarded is within the
   33-1  discretion of the trier of fact.
   33-2        Sec. 41.015.  EVIDENCE RELATING TO AMOUNT OF EXEMPLARY
   33-3  DAMAGES.  (a)  In determining the amount of exemplary damages, the
   33-4  trier of fact may only consider evidence relating to:
   33-5              (1)  the reprehensibility of the defendant's motives;
   33-6              (2)  the likelihood, at the time of the conduct, of
   33-7  serious harm;
   33-8              (3)  the defendant's awareness of the likelihood of
   33-9  serious harm;
  33-10              (4)  the duration of the conduct; and
  33-11              (5)  the harm suffered by the claimant.
  33-12        (b)  In determining the amount of exemplary damages, the
  33-13  trier of fact may not consider evidence relating to the defendant's
  33-14  wealth or ability to pay, including the defendant's net worth and
  33-15  gross or net revenues.
  33-16        Sec. 41.016.  JURY INSTRUCTIONS. In a trial to a jury, the
  33-17  court shall instruct the jury with regard to Sections 41.014 and
  33-18  41.015(a).
  33-19        Sec. 41.017.  JUDICIAL REVIEW OF AWARD.  An appellate court
  33-20  that reviews the evidence with respect to a finding by a trier of
  33-21  fact concerning liability for exemplary damages or with respect to
  33-22  the amount of exemplary damages awarded shall state, in a written
  33-23  opinion, the court's reasons for upholding or disturbing the
  33-24  finding or award.  The written opinion must address the evidence or
  33-25  lack of evidence with specificity,  as it relates to the liability
  33-26  for or amount of exemplary damages, in light of the requirements of
  33-27  this chapter.
   34-1        <Sec. 41.008.  EXCEPTION. Section 41.007 does not apply to
   34-2  exemplary damages resulting from malice as defined by Section
   34-3  41.001(6)(A) or to an intentional tort.>
   34-4        <Sec. 41.009.  PROVISIONS NOT TO BE MADE KNOWN TO JURY.  The
   34-5  provisions of Section 41.007 may not be made known to the jury
   34-6  through any means, including voir dire, introduction into evidence,
   34-7  or instruction.>
   34-8        SECTION 3.02.  (a)  Section 408.001(b), Labor Code, is
   34-9  amended to read as follows:
  34-10        (b)  This section does not prohibit the recovery of exemplary
  34-11  damages by the surviving spouse or heirs of the body of a deceased
  34-12  employee whose death was caused by an intentional act or omission
  34-13  of the employer or by the employer's gross neglect, subject to
  34-14  Chapter 41, Civil Practice and Remedies Code <negligence>.
  34-15        (b)  Section 408.001(c), Labor Code, is repealed.
  34-16        SECTION 3.03.  This article takes effect September 1, 1995,
  34-17  and applies only to a cause of action that commences on or after
  34-18  that date.  An action that commenced before the effective date of
  34-19  this article is governed by the law applicable to the action as it
  34-20  existed immediately before the effective date of this article, and
  34-21  that law is continued in effect for that purpose.
  34-22                         ARTICLE 4.  EMERGENCY
  34-23        SECTION 4.01.  The importance of this legislation and the
  34-24  crowded condition of the calendars in both houses create an
  34-25  emergency and an imperative public necessity that the
  34-26  constitutional rule requiring bills to be read on three several
  34-27  days in each house be suspended, and this rule is hereby suspended.