By Pitts                                              H.B. No. 3101
          Substitute the following for H.B. No. 3101:
          By Marchant                                       C.S.H.B. No. 3101
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to application of usury laws to certain purchases of
    1-3  accounts receivable.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Chapter 1, Title 79, Revised statutes (Article
    1-6  5069-1.01 et seq., Vernon's Texas Civil Statutes), is amended by
    1-7  adding Article 1.14 to read as follows:
    1-8        Art. 1.14  PURCHASES OF ACCOUNTS RECEIVABLE.  (a)  In this
    1-9  article:
   1-10              (1)  "Account purchase transaction" means an agreement
   1-11  or agreements under which a person or entity engaged in a
   1-12  commercial enterprise sells accounts, instruments, documents and/or
   1-13  chattel paper subject to this chapter at a discount, whether or not
   1-14  the person or entity has a related repurchase obligation.
   1-15        (b)  For the purposes of this chapter, the amount of any
   1-16  discount in, or charged under, an account purchase transaction is
   1-17  not compensation contracted for, charged, or received with respect
   1-18  to that account purchase transaction.
   1-19        (c)  For the purposes of this chapter, the parties'
   1-20  characterization of an account purchase transaction as a purchase
   1-21  shall be conclusive that the account purchase transaction is not a
   1-22  transaction for the use, forbearance or detention of money.
   1-23        SECTION 2.  This Act applies to an account purchase
    2-1  transaction entered before, on, or after the effective date of this
    2-2  Act.
    2-3        SECTION 3.  The importance of this legislation and the
    2-4  crowded condition of the calendars in both houses create an
    2-5  emergency and an imperative public necessity that the
    2-6  constitutional rule requiring bills to be read on three several
    2-7  days in each house be suspended, and that this Act take effect and
    2-8  be in force from and after its passage, and it is so enacted.