By Pitts H.B. No. 851
75R3340 DAK-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to requiring alternative dispute resolution procedures in
1-3 certain civil actions.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subchapter A, Chapter 154, Civil Practice and
1-6 Remedies Code, is amended by adding Section 154.004 to read as
1-7 follows:
1-8 Sec. 154.004. MANDATORY MEDIATION NOT REQUIRED FOR CERTAIN
1-9 DISPUTES. The provisions of this chapter requiring a court to
1-10 refer a pending dispute for resolution by an alternative dispute
1-11 resolution procedure do not apply to:
1-12 (1) a criminal proceeding;
1-13 (2) a proceeding in probate;
1-14 (3) an uncontested divorce; or
1-15 (4) a suit for adoption.
1-16 SECTION 2. Section 154.021, Civil Practice and Remedies
1-17 Code, is amended by amending Subsection (a) and adding Subsections
1-18 (c) and (d) to read as follows:
1-19 (a) Except for a dispute listed under Section 154.004, a [A]
1-20 court shall [may], on its own motion [or the motion of a party],
1-21 refer a pending suit that has not been settled by the parties
1-22 before the 60th day after the latest date on which a defendant was
1-23 served [dispute] for resolution by an alternative dispute
1-24 resolution procedure including:
2-1 (1) an alternative dispute resolution system
2-2 established under Chapter 152 [26, Acts of the 68th Legislature,
2-3 Regular Session, 1983 (Article 2372aa, Vernon's Texas Civil
2-4 Statutes)];
2-5 (2) a dispute resolution organization; or
2-6 (3) a nonjudicial and informally conducted forum for
2-7 the voluntary settlement of citizens' disputes through the
2-8 intervention of an impartial third party, including those
2-9 alternative dispute resolution procedures described under this
2-10 subchapter.
2-11 (c) In a suit referred for resolution by an alternative
2-12 resolution procedure under Subsection (a), the parties shall
2-13 conduct the first session of the procedure not later than the 45th
2-14 day after the date of referral unless the court referring the suit
2-15 allows the first session to begin at a later date. The parties
2-16 shall continue the procedure until the mediator certifies that a
2-17 settlement or impasse has been reached.
2-18 (d) A court may, on its own motion or the motion of a party,
2-19 refer a pending dispute for voluntary resolution by an alternative
2-20 dispute resolution procedure described by Subsection (a) if the
2-21 dispute is excepted from mandatory referral to mediation under
2-22 Section 154.004.
2-23 SECTION 3. Section 154.022, Civil Practice and Remedies
2-24 Code, is amended by amending the heading and Subsection (a) to read
2-25 as follows:
2-26 Sec. 154.022. NONMANDATORY REFERRAL: NOTIFICATION AND
2-27 OBJECTION. (a) If a court determines that a pending dispute
3-1 excepted from mandatory referral to mediation under Section 154.004
3-2 is appropriate for referral under Section 154.021, the court shall
3-3 notify the parties of its determination.
3-4 SECTION 4. Subchapter B, Chapter 154, Civil Practice and
3-5 Remedies Code, is amended by adding Section 154.0221 to read as
3-6 follows:
3-7 Sec. 154.0221. MANDATORY REFERRAL: NOTIFICATION AND
3-8 OBJECTION. (a) A court that requires the use of an alternative
3-9 dispute resolution procedure under Section 154.021 shall notify the
3-10 parties of its determination of the procedure the parties are
3-11 required to use.
3-12 (b) Any party may, not later than the 10th day after the
3-13 date the party receives the notice under Subsection (a), file a
3-14 written objection to the referral.
3-15 (c) If the court finds that there is reasonable basis for an
3-16 objection filed under Subsection (b), the court shall refer the
3-17 dispute to another alternative dispute resolution procedure.
3-18 SECTION 5. Section 154.071(b), Civil Practice and Remedies
3-19 Code, is amended to read as follows:
3-20 (b) For a case that the court was required to refer to an
3-21 alternative dispute resolution procedure under Section 154.021, the
3-22 [The] court shall [in its discretion may] incorporate the terms of
3-23 the agreement in the court's final decree disposing of the case.
3-24 For a case excepted from mandatory mediation under Section 154.004,
3-25 the court in its discretion may incorporate the terms of the
3-26 agreement in the court's final decree disposing of the case.
3-27 SECTION 6. This Act takes effect September 1, 1997, and
4-1 applies only to a cause of action that accrues on or after that
4-2 date. An action that accrued before the effective date of this Act
4-3 is governed by the law applicable to the action immediately before
4-4 the effective date of this Act, and that law is continued in effect
4-5 for that purpose.
4-6 SECTION 7. The importance of this legislation and the
4-7 crowded condition of the calendars in both houses create an
4-8 emergency and an imperative public necessity that the
4-9 constitutional rule requiring bills to be read on three several
4-10 days in each house be suspended, and this rule is hereby suspended.