By Hilbert, et al. H.B. No. 1022
Substitute the following for H.B. No. 1022:
By Goodman C.S.H.B. No. 1022
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to remedies and the award of damages in certain civil
1-3 actions.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 33.012(b), Civil Practice and Remedies
1-6 Code, is amended to read as follows:
1-7 (b) If the claimant has settled with one or more persons,
1-8 the court shall further reduce the amount of damages to be
1-9 recovered by the claimant with respect to a cause of action by a
1-10 credit equal to one of the following, as elected in accordance with
1-11 Section 33.014:
1-12 (1) the sum of the dollar amounts of all settlements;
1-13 or
1-14 (2) a percentage of the [dollar] amount of damages
1-15 found by the trier of fact equal to the sum of the settling
1-16 persons' percentages of responsibility [following percentages of
1-17 damages found by the trier of fact:]
1-18 [(A) 5 percent of those damages up to $200,000;]
1-19 [(B) 10 percent of those damages from $200,001
1-20 to $400,000;]
1-21 [(C) 15 percent of those damages from $400,001
1-22 to $500,000; and]
1-23 [(D) 20 percent of those damages greater than
1-24 $500,000].
2-1 SECTION 2. Section 2, Article 1.05, Title 79, Revised
2-2 Statutes (Article 5069-1.05, Vernon's Texas Civil Statutes), is
2-3 amended to read as follows:
2-4 Sec. 2. Except as provided in Section 1 of this article, all
2-5 judgments, together with taxable court costs, of the courts of this
2-6 state earn interest, compounded annually, at the rate published by
2-7 the consumer credit commissioner in the Texas Register. The
2-8 consumer credit commissioner shall compute on the 15th day of each
2-9 month the judgment interest rate by taking the auction rate quoted
2-10 on a discount basis for 52-week treasury bills issued by the United
2-11 States government as published by the Federal Reserve Board on the
2-12 most recent date preceding the date of computation. The interest
2-13 rate so computed shall be the judgment rate[, except that if the
2-14 rate so computed is less than 10 percent, the judgment interest
2-15 rate shall be 10 percent, and if it be more than 20 percent, the
2-16 judgment interest rate shall be 20 percent]. The rate established
2-17 on that computation date shall be the interest rate on judgments
2-18 for the next calendar month.
2-19 SECTION 3. Section 6, Article 1.05, Title 79, Revised
2-20 Statutes (Article 5069-1.05, Vernon's Texas Civil Statutes), is
2-21 amended by amending Subsections (a) and (d) and adding Subsection
2-22 (h) to read as follows:
2-23 (a) Judgments in all actions for wrongful death, personal
2-24 injury, [and] property damage, or tortious conduct that results in
2-25 harm, and contract actions not governed by Section 1 of this
2-26 article [cases] must include prejudgment interest on past damages.
2-27 Except as provided by Subsections (b), (c), and (d) of this
3-1 section, the prejudgment interest accrual period begins [accrues on
3-2 the amount of the judgment during the period beginning on the 180th
3-3 day after the date the defendant receives written notice of a claim
3-4 or] on the day the action [suit] is filed and ends[, whichever
3-5 occurs first, and ending] on the day immediately preceding the date
3-6 judgment is rendered.
3-7 (d) Prejudgment [In addition to the exceptions provided
3-8 under Subsections (b) and (c) of this section, the court in its
3-9 discretion may order that prejudgment] interest [does or] does not
3-10 accrue during periods of delay in the trial[, taking into
3-11 consideration:]
3-12 [(1) periods of delay caused by a defendant; and]
3-13 [(2) periods of delay] caused by a claimant.
3-14 (h) A court may not award prejudgment interest on attorney's
3-15 fees or future damages.
3-16 (i) The court shall instruct the jury that the court will
3-17 award prejudgment interest on the amounts of past damages awarded
3-18 by the jury.
3-19 SECTION 4. (a) This Act applies to all actions commenced on
3-20 or after the effective date of this Act.
3-21 (b) An action commenced before the effective date of this
3-22 Act is governed by the law applicable immediately before the
3-23 effective date, and that law is continued in effect for that
3-24 purpose.
3-25 SECTION 5. The importance of this legislation and the
3-26 crowded condition of the calendars in both houses create an
3-27 emergency and an imperative public necessity that the
4-1 constitutional rule requiring bills to be read on three several
4-2 days in each house be suspended, and this rule is hereby suspended,
4-3 and that this Act take effect and be in force from and after its
4-4 passage, and it is so enacted.