By Hightower                                    H.B. No. 1185

      75R5517 DLF-F                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the fraudulent exercise of certain governmental

 1-3     functions and the fraudulent creation or use of certain pleadings,

 1-4     governmental documents, and records; providing penalties.

 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-6           SECTION 1.  Section 32.46, Penal Code, is amended to read as

 1-7     follows:

 1-8           Sec. 32.46.  SECURING EXECUTION OF DOCUMENT BY DECEPTION.

 1-9     (a)  A person commits an offense if, with intent to defraud or harm

1-10     any person, he, by deception:

1-11                 (1)  [,] causes another to sign or execute any document

1-12     affecting property or service or the pecuniary interest of any

1-13     person; or

1-14                 (2)  causes or induces a public servant to file or

1-15     record any purported judgment or other document purporting  to

1-16     memorialize or evidence an act, an order, a directive, or process

1-17     of:

1-18                       (A)  a purported court that is not expressly

1-19     created or established under the constitution or the laws of this

1-20     state or of the United States;

1-21                       (B)  a purported judicial entity that is not

1-22     expressly created or established under the constitution or laws of

1-23     this state or of the United States; or

1-24                       (C)  a purported judicial officer of a purported

 2-1     court or purported judicial entity described by Paragraph (A) or

 2-2     (B).

 2-3           (b)  An offense under Subsection (a)(1) [this section] is a:

 2-4                 (1)  Class C misdemeanor if the value of the property,

 2-5     service, or pecuniary interest is less than $20;

 2-6                 (2)  Class B misdemeanor if the value of the property,

 2-7     service, or pecuniary interest is $20 or more but less than $500;

 2-8                 (3)  Class A misdemeanor if the value of the property,

 2-9     service, or pecuniary interest is $500 or more but less than

2-10     $1,500;

2-11                 (4)  state jail felony if the value of the property,

2-12     service, or pecuniary interest is $1,500 or more but less than

2-13     $20,000;

2-14                 (5)  felony of the third degree if the value of the

2-15     property, service, or pecuniary interest is $20,000 or more but

2-16     less than $100,000;

2-17                 (6)  felony of the second degree if the value of the

2-18     property, service, or pecuniary interest is $100,000 or more but

2-19     less than $200,000; or

2-20                 (7)  felony of the first degree if the value of the

2-21     property, service, or pecuniary interest is $200,000 or more.

2-22           (c)  An offense under Subsection(a)(2) is a state jail

2-23     felony.

2-24           (d)  In this section, "deception" has the meaning assigned by

2-25     Section 31.01.

2-26           SECTION 2.  Subchapter D, Chapter 32, Penal Code, is amended

2-27     by adding Section 32.48 to read as follows:

 3-1           Sec. 32.48.  SIMULATING LEGAL PROCESS.  (a)  A person commits

 3-2     an offense if the person recklessly delivers to another any

 3-3     document that simulates a summons, complaint, judgment, or other

 3-4     court process with the intent to:

 3-5                 (1)  induce payment of a claim; or

 3-6                 (2)  cause another to:

 3-7                       (A)  submit to the putative authority of the

 3-8     document; or

 3-9                       (B)  take any action or refrain from taking any

3-10     action in response to the document, in compliance with the

3-11     document, or on the basis of the document.

3-12           (b)  Proof that the document was mailed or was delivered to

3-13     any person with the intent that it be forwarded to the intended

3-14     recipient is a sufficient showing that the document was delivered.

3-15           (c)  It is not a defense to prosecution under this section

3-16     that the simulating document:

3-17                 (1)  states that it is not legal process; or

3-18                 (2)  purports to have been issued or authorized by a

3-19     person or entity who did not have lawful authority to issue or

3-20     authorize the document.

3-21           (d)  If it is shown on the trial of an offense under this

3-22     section that the simulating document was filed with, presented to,

3-23     or delivered to a clerk of a court or an employee of a clerk of a

3-24     court created or established under the constitution or laws of this

3-25     state, there is a rebuttable presumption that the document was

3-26     delivered with the intent described by Subsection (a).

3-27           (e)  Except as provided by Subsection (f), an offense under

 4-1     this section is a Class A misdemeanor.

 4-2           (f)  If it is shown on the trial of an offense under this

 4-3     section that the defendant has previously been convicted of a

 4-4     violation of this section, the offense is a state jail felony.

 4-5           SECTION 3.  Subchapter D, Chapter 32, Penal Code, is amended

 4-6     by adding Section 32.49 to read as follows:

 4-7           Sec. 32.49.  FAILURE TO EXECUTE RELEASE OF FRAUDULENT LIEN OR

 4-8     CLAIM.  (a)  A person commits an offense if, with intent to defraud

 4-9     or harm another, the person:

4-10                 (1)  owns, holds, or is the beneficiary of a purported

4-11     lien or claim asserted against real or personal property or an

4-12     interest in real or personal property that is fraudulent, as

4-13     described by Section 51.901, Government Code; and

4-14                 (2)  refuses to execute a release of the fraudulent

4-15     lien or claim on request of:

4-16                       (A)  the obligor or debtor; or

4-17                       (B)  any person who owns any interest in the real

4-18     or personal property described in the document or instrument that

4-19     is the basis for the lien or claim.

4-20           (b)  An offense under this section is a Class A misdemeanor.

4-21           SECTION 4.  Section 37.01, Penal Code, is amended to read as

4-22     follows:

4-23           Sec. 37.01.  DEFINITIONS.  In this chapter:

4-24                 (1)  "Court record" means a decree, judgment, order,

4-25     subpoena, warrant, or other document issued by  a court of:

4-26                       (A)  this state;

4-27                       (B)  another state;

 5-1                       (C)  the United States;

 5-2                       (D)  a foreign country recognized by an act of

 5-3     congress or a treaty or other international convention to which the

 5-4     United States is a party;

 5-5                       (E)  an Indian tribe recognized by the United

 5-6     States; or

 5-7                       (F)  any other jurisdiction, territory, or

 5-8     protectorate entitled to full faith and credit in this state under

 5-9     the United States Constitution.

5-10                 (2)  "Governmental record" means:

5-11                       (A)  anything belonging to, received by, or kept

5-12     by government for information, including a court record;

5-13                       (B)  anything required by law to be kept by

5-14     others for information of government; or

5-15                       (C)  a license, certificate, permit, seal, title,

5-16     letter of patent, or similar document issued by government.

5-17                 (3) [(2)]  "Statement" means any representation of

5-18     fact.

5-19           SECTION 5.  Section 37.10, Penal Code, is amended by amending

5-20     Subsection (d) and adding Subsection (h) to read as follows:

5-21           (d)  An offense under this section is a felony of the third

5-22     degree if it is shown on the trial of the offense that the

5-23     governmental record was a license, certificate, permit, seal,

5-24     title, letter of patent, or similar document issued by government,

5-25     unless the actor's intent is to defraud or harm another, in which

5-26     event the offense is a felony of the second degree.

5-27           (h)  If conduct that constitutes an offense under this

 6-1     section also constitutes an offense under Section 32.48 or 37.13,

 6-2     the actor may be prosecuted under any of those sections.

 6-3           SECTION 6.  Section 37.11, Penal Code, is amended to read as

 6-4     follows:

 6-5           Sec. 37.11.  IMPERSONATING PUBLIC SERVANT.  (a)  A person

 6-6     commits an offense if he:

 6-7                 (1)  impersonates a public servant with intent to

 6-8     induce another to submit to his pretended official authority or to

 6-9     rely on his pretended official acts; or

6-10                 (2)  knowingly exercises any function of a public

6-11     servant or of a public office, including that of  a judge and

6-12     court, and the position or office through which he purports to

6-13     exercise a function of a public servant or public office has no

6-14     lawful existence under the constitution or laws of this state or of

6-15     the United States.

6-16           (b)  An offense under this section is [a Class A misdemeanor

6-17     unless the person impersonated a peace officer, in which event it

6-18     is] a felony of the third degree.

6-19           SECTION 7.  Chapter 37, Penal Code, is amended by adding

6-20     Section 37.13 to read as follows:

6-21           Sec. 37.13.  FRAUDULENT COURT RECORD.  (a)  A person commits

6-22     an offense if the person makes, presents, or uses any document or

6-23     other record with:

6-24                 (1)  knowledge that the document or other record is not

6-25     a genuine court record; and

6-26                 (2)  the intent that the document or other record be

6-27     given the same legal effect as a genuine court record.

 7-1           (b)  An offense under this section is a Class B misdemeanor.

 7-2           (c)  If conduct that constitutes an offense under this

 7-3     section also constitutes an offense under Section 32.48 or 37.10,

 7-4     the actor may be prosecuted under any of those sections.

 7-5           SECTION 8.  Section 71.02(a), Penal Code, is amended to read

 7-6     as follows:

 7-7           (a)  A person commits an offense if, with the intent to

 7-8     establish, maintain, or participate in a combination or in the

 7-9     profits of a combination or as a member of a criminal street gang,

7-10     he commits or conspires to commit one or more of the following:

7-11                 (1)  murder, capital murder, arson, aggravated robbery,

7-12     robbery, burglary, theft, aggravated kidnapping, kidnapping,

7-13     aggravated assault, aggravated sexual assault, sexual assault,

7-14     forgery, deadly conduct, assault punishable as a Class A

7-15     misdemeanor, burglary of a motor vehicle, or unauthorized use of a

7-16     motor vehicle;

7-17                 (2)  any gambling offense punishable as a Class A

7-18     misdemeanor;

7-19                 (3)  promotion of prostitution, aggravated promotion of

7-20     prostitution, or compelling prostitution;

7-21                 (4)  unlawful manufacture, transportation, repair, or

7-22     sale of firearms or prohibited weapons;

7-23                 (5)  unlawful manufacture, delivery, dispensation, or

7-24     distribution of a controlled substance or dangerous drug, or

7-25     unlawful possession of a controlled substance or dangerous drug

7-26     through forgery, fraud, misrepresentation, or deception;

7-27                 (6)  any unlawful wholesale promotion or possession of

 8-1     any obscene material or obscene device with the intent to wholesale

 8-2     promote the same;

 8-3                 (7)  any unlawful employment, authorization, or

 8-4     inducing of a child younger than 17 years of age in an obscene

 8-5     sexual performance;

 8-6                 (8)  any felony offense under Chapter 32, Penal Code;

 8-7                 (9)  any offense under Chapter 36, Penal Code; [or]

 8-8                 (10)  any offense under Chapter 34, Penal Code; or

 8-9                 (11)  any offense under Section 37.11(a), Penal Code.

8-10           SECTION 9.  Chapter 37, Penal Code, is amended by adding

8-11     Section 37.101 to read as follows:

8-12           Sec. 37.101.  FRAUDULENT FILING OF FINANCING STATEMENT.  (a)

8-13     A person commits an offense if the person knowingly presents for

8-14     filing or causes to be presented for filing a financing statement

8-15     that the person knows:

8-16                 (1)  is forged;

8-17                 (2)  contains a material false statement; or

8-18                 (3)  is groundless.

8-19           (b)  An offense under Subsection (a)(1) is a felony of the

8-20     third degree, unless the person commits the offense with the intent

8-21     to defraud or harm another, in which event the offense is a felony

8-22     of the second degree.  An offense under Subsection (a)(2) or (a)(3)

8-23     is a Class A misdemeanor, unless the person commits the offense

8-24     with the intent to defraud or harm another, in which event the

8-25     offense is a state jail felony.

8-26           SECTION 10.  Chapter 1, Code of Criminal Procedure, is

8-27     amended by adding Article 1.052 to read as follows:

 9-1           Art. 1.052.  SIGNED PLEADINGS OF DEFENDANT.  (a)  A pleading,

 9-2     motion, and other paper filed for or on behalf of a defendant

 9-3     represented by an attorney must be signed by at least one attorney

 9-4     of record in the attorney's name and state the attorney's address.

 9-5     A defendant who is not represented by an attorney must sign any

 9-6     pleading, motion, or other paper filed for or on the defendant's

 9-7     behalf and state the defendant's address.

 9-8           (b)  The signature of an attorney or a defendant constitutes

 9-9     a certificate by the attorney or defendant that the person has read

9-10     the pleading, motion, or other paper and that to the best of the

9-11     person's knowledge, information, and belief formed after reasonable

9-12     inquiry that the instrument is not groundless and brought in bad

9-13     faith or groundless and brought for harassment, unnecessary delay,

9-14     or other improper purpose.

9-15           (c)  If a pleading, motion, or other paper is not signed, the

9-16     court shall strike it unless it is signed promptly after the

9-17     omission is called to the attention of the attorney or defendant.

9-18           (d)  An attorney or defendant who files a fictitious pleading

9-19     in a cause for an improper purpose described by Subsection (b) or

9-20     who makes a statement in a pleading that the attorney or defendant

9-21     knows to be groundless and false to obtain a delay of the trial of

9-22     the cause or for the purpose of harassment shall be held guilty of

9-23     contempt.

9-24           (e)  If a pleading, motion, or other paper is signed in

9-25     violation of this article, the court, on motion or on its own

9-26     initiative, after notice and hearing, shall impose an appropriate

9-27     sanction, which may include an order to pay to the other party or

 10-1    parties to the prosecution or to the general fund of the county in

 10-2    which the pleading, motion, or other paper was filed the amount of

 10-3    reasonable expenses incurred because of the filing of the pleading,

 10-4    motion, or other paper, including reasonable attorney's fees.

 10-5          (f)  A court shall presume that a pleading, motion, or other

 10-6    paper is filed in good faith.  Sanctions under this article may not

 10-7    be imposed except for good cause stated in the sanction order.

 10-8          (g)  A plea of "not guilty" or "no contest" or "nolo

 10-9    contendere" does not constitute a violation of this article.  An

10-10    allegation that an event took place or occurred on or about a

10-11    particular date does not constitute a violation of this article.

10-12          (h)  In this article, "groundless" means without basis in law

10-13    or fact and not warranted by a good faith argument for the

10-14    extension, modification, or reversal of existing law.

10-15          SECTION 11.  Chapter 13, Code of Criminal Procedure, is

10-16    amended by adding Article 13.26 to read as follows:

10-17          Art. 13.26.  SIMULATING LEGAL PROCESS.  An offense under

10-18    Section 32.48, Penal Code, may be prosecuted either in the county

10-19    from which the document was sent or in the county in which it was

10-20    delivered.

10-21          SECTION 12.  Section 192.004, Local Government Code, is

10-22    amended to read as follows:

10-23          Sec. 192.004.  LIEN INSTRUMENTS.  Except as provided by

10-24    Subchapter J, Chapter 51, Government Code, the [The] county clerk

10-25    shall record  separately from a deed or other conveyance each deed

10-26    of trust, mortgage, or judgment that is required to be recorded to

10-27    create a judgment lien and every other instrument that is intended

 11-1    to create a lien.

 11-2          SECTION 13.  Section 51.605(c), Government Code, is amended

 11-3    to read as follows:

 11-4          (c)  A clerk must successfully complete 20 hours of

 11-5    continuing education courses in the performance of the duties of

 11-6    office at least one time in each 24-month period. The 20 hours of

 11-7    required continuing education courses must include at least one

 11-8    hour of continuing education regarding fraudulent court documents

 11-9    and fraudulent document filings.

11-10          SECTION 14.  Chapter 51, Government Code, is amended by

11-11    adding Subchapter J to read as follows:

11-12          SUBCHAPTER J.  CERTAIN FRAUDULENT RECORDS OR DOCUMENTS

11-13          Sec. 51.901.  FRAUDULENT DOCUMENT OR INSTRUMENT.  (a)  If a

11-14    clerk of the supreme court, clerk of the court of criminal appeals,

11-15    clerk of a court of appeals, district clerk, county clerk, or

11-16    municipal clerk has reason to believe that a document or instrument

11-17    previously filed or recorded or offered or submitted for filing or

11-18    for filing and recording is fraudulent, the clerk shall:

11-19                (1)  if the document is a purported judgment or other

11-20    document purporting to memorialize or evidence an act, an order, a

11-21    directive, or process of a purported court, provide written notice

11-22    of the filing, recording, or submission for filing or for filing

11-23    and recording to the stated or last known address of the person

11-24    against whom the purported judgment, act, order, directive, or

11-25    process is rendered; or

11-26                (2)  if the document or instrument purports to create a

11-27    lien or assert a claim on real property or an interest in real

 12-1    property, provide written notice of the filing, recording, or

 12-2    submission for filing or for filing and recording to the stated or

 12-3    last known address of the person named in the document or

 12-4    instrument as the obligor or debtor and to any person who owns any

 12-5    interest in the real property described in the document or

 12-6    instrument.

 12-7          (b)  A clerk shall provide written notice under Subsection

 12-8    (a):

 12-9                (1)  not later than the second business day after the

12-10    date that the document or instrument is offered or submitted for

12-11    filing or for filing and recording; or

12-12                (2)  if the document or instrument has been previously

12-13    filed or recorded, not later than the second business day after the

12-14    date that the clerk becomes aware that the document or instrument

12-15    is fraudulent.

12-16          (c)  For purposes of this section, a document or instrument

12-17    is presumed to be fraudulent if:

12-18                (1)  the document is a purported judgment or other

12-19    document purporting to memorialize or evidence an act, an order, a

12-20    directive, or process of:

12-21                      (A)  a purported court or a purported judicial

12-22    entity not expressly created or established under the constitution

12-23    or the laws of this state or of the United States; or

12-24                      (B)  a purported judicial officer of a purported

12-25    court or purported judicial entity described by Paragraph (A); or

12-26                (2)  the document or instrument purports to create a

12-27    lien or assert a claim against real or personal property or an

 13-1    interest in real or personal property and:

 13-2                      (A)  is not a document or instrument provided for

 13-3    by the constitution or laws of this state or of the United States;

 13-4                      (B)  is not created by implied consent or express

 13-5    consent as evidenced by the originally signed and attested or

 13-6    acknowledged signature of the obligor, debtor, or the owner of an

 13-7    interest in the real property, if required under the laws of this

 13-8    state, or by consent of an agent, fiduciary, or other

 13-9    representative of that person; or

13-10                      (C)  is not an equitable, constructive, or other

13-11    lien imposed by a court with jurisdiction created or established

13-12    under the constitution or laws of this state or of the United

13-13    States.

13-14          Sec. 51.902.  ACTION ON FRAUDULENT JUDGMENT LIEN.  (a)  A

13-15    person against whom a purported judgment was rendered who has

13-16    reason to believe that a document previously filed or recorded or

13-17    submitted for filing or for filing and recording is fraudulent may

13-18    complete and file with the district clerk a motion that contains,

13-19    at a minimum, the information in the following suggested form:

13-20                        MISC. DOCKET NO. __________

13-21    In Re:  A Purported                In the _______ Judicial District

13-22    Judgment Lien Against              In and For _____________________

13-23    (Name of Purported                 County, Texas                   

13-24    Debtor)

13-25          Motion for Judicial Review of a Document Purporting to

13-26                          Create a Judgment Lien

13-27          Now Comes (name) and files this motion requesting a judicial

 14-1    determination of the status of a court, judicial entity, or

 14-2    judicial officer purporting to have taken an action that is the

 14-3    basis of a judgment lien filed in the office of said clerk, and in

 14-4    support of the motion would show the court as follows:

 14-5                                    I. 

 14-6          (Name), movant herein, is the person against whom the

 14-7    purported judgment was rendered.

 14-8                                   II. 

 14-9          On (date), in the exercise of the county clerk's official

14-10    duties as County Clerk of (county name) County, Texas, the county

14-11    clerk received and filed or filed and recorded the document

14-12    attached hereto and containing (number) pages.  Said document

14-13    purports to have been rendered on the basis of a judgment, act,

14-14    order, directive, or process of a court, judicial entity, or

14-15    judicial officer called therein "(name of purported court, judicial

14-16    entity, or judicial officer)" against one (name of purported

14-17    debtor).

14-18                                   III. 

14-19          Movant alleges that the purported court, judicial entity, or

14-20    judicial officer referred to in the attached document is one

14-21    described in Section 51.901(c)(1), Government Code, as not legally

14-22    created or established under the constitution or laws of this state

14-23    or of the United States, and that the document should therefore not

14-24    be accorded lien status.

14-25                                  PRAYER

14-26          Movant requests the court to review the attached document and

14-27    enter an order determining whether it should be accorded lien

 15-1    status, together with such other orders as the court deems

 15-2    appropriate.

 15-3                                              Respectfully submitted,  

 15-4                                              _________________________

 15-5                                              (Signature and typed name

 15-6                                              and address)             

 15-7          (b)  A motion filed under this section may be ruled on by a

 15-8    district judge having jurisdiction over real property matters in

 15-9    the county in which the subject document was filed.  The court's

15-10    finding may be made solely on a review of the documents attached to

15-11    the movant's motion and without hearing any testimonial evidence.

15-12    The court's review may be made ex parte without delay or notice of

15-13    any kind.  The court's ruling on the motion, in the nature of a

15-14    finding of fact and a conclusion of law, is unappealable if it is

15-15    substantially similar to the form suggested in Subsection (f).

15-16          (c)  The district clerk may not collect a filing fee for

15-17    filing a motion under this section.

15-18          (d)  After reviewing the documents attached to a motion under

15-19    this section, the district judge shall enter an appropriate finding

15-20    of fact and conclusion of law, which must be filed and indexed in

15-21    the same class of records, in which the subject document was

15-22    originally filed.

15-23          (e)  The county clerk may not collect a filing fee for filing

15-24    a district judge's finding of fact and conclusion of law under this

15-25    section.

15-26          (f)  A suggested form order appropriate to comply with this

15-27    section is as follows:

 16-1                        MISC. DOCKET NO. __________

 16-2    In Re:  A Purported                In the _______ Judicial District

 16-3    Judgment Lien Against              In and For _____________________

 16-4    (Name of Purported                 County, Texas                   

 16-5    Debtor)

 16-6              Judicial Finding of Fact and Conclusion of Law

 16-7         Regarding a Document Purporting to Create a Judgment Lien

 16-8          On the (number) day of (month), (year), in the above entitled

 16-9    and numbered cause, this court reviewed a motion of (name) and the

16-10    documents attached thereto.  No testimony was taken from any party,

16-11    nor was there any notice of the court's review, the court having

16-12    made the determination that a decision could be made solely on

16-13    review of the document under the authority vested in the court

16-14    under Subchapter J, Chapter 51, Government Code.

16-15          The court finds as follows (only an item checked and

16-16    initialed is a valid court ruling):

16-17    ______  The document attached to the motion herein refers to a

16-18    legally constituted court, judicial entity, or judicial officer and

16-19    may be recorded.

16-20    ______  The document attached to the motion herein DOES NOT refer

16-21    to a legally constituted court, judicial entity, or judicial

16-22    officer and MAY NOT be recorded.  There is no valid judgment lien

16-23    created by the document.

16-24          This court makes no finding as to any underlying claim of the

16-25    parties involved and expressly limits its finding and conclusion in

16-26    the same class of records as the subject document was originally

16-27    filed and directs the county clerk to index it using the same names

 17-1    as were used in indexing the subject document.

 17-2          SIGNED ON THIS THE ________ DAY OF _________________________.

 17-3                                      _________________________________

 17-4                                      DISTRICT JUDGE                   

 17-5                                      ________ JUDICIAL DISTRICT      

 17-6                                      ___________________ COUNTY, TEXAS

 17-7          Sec. 51.903.  ACTION ON FRAUDULENT LIEN ON PROPERTY.  (a)  A

 17-8    person who is the purported debtor or obligor or who owns real or

 17-9    personal property or an interest in real or personal property and

17-10    who has reason to believe that the document purporting to create a

17-11    lien or a claim against the real or personal property or an

17-12    interest in the real or personal property previously filed or

17-13    submitted for filing and recording is fraudulent may complete and

17-14    file with the district clerk a motion that contains, at a minimum,

17-15    the information in the following suggested form:

17-16                        MISC. DOCKET NO. __________

17-17    In Re:  A Purported                In the _______ Judicial District

17-18    Lien or Claim Against              In and For _____________________

17-19    (Name of Purported                 County, Texas                   

17-20    Debtor)

17-21      Motion for Judicial Review of Document or Instrument Purporting

17-22                         to Create a Lien or Claim

17-23          Now Comes (name) and files this motion requesting a judicial

17-24    determination of the status of a document or instrument purporting

17-25    to create a lien or claim on real or personal property or an

17-26    interest in real or personal property filed in the office of the

17-27    Clerk of (county name) County, Texas, and in support of the motion

 18-1    would show the court as follows:

 18-2                                    I. 

 18-3          (Name), movant herein, is the purported obligor or debtor or

 18-4    person who owns the real or personal property or the interest in

 18-5    real or personal property described in the document or instrument.

 18-6                                   II. 

 18-7          On (date), in the exercise of the county clerk's official

 18-8    duties as County Clerk of (county name) County, Texas, the county

 18-9    clerk received and filed and recorded the document attached hereto

18-10    and containing (number) pages.  Said document purports to have

18-11    created a lien on real or personal property or an interest in real

18-12    or personal property against one (name of purported debtor).

18-13                                   III. 

18-14          Movant alleges that the document is fraudulent, as described

18-15    by Section 51.901(c), Government Code, and that the document should

18-16    therefore not be accorded lien status.

18-17                                  PRAYER

18-18          Movant requests the court to review the attached document and

18-19    enter an order determining whether it should be accorded lien

18-20    status, together with such other orders as the court deems

18-21    appropriate.

18-22                                              Respectfully submitted,  

18-23                                              _________________________

18-24                                              (Signature and typed name

18-25                                              and address)             

18-26          (b)  A motion under this section may be ruled on by a

18-27    district judge having jurisdiction over real property matters in

 19-1    the county in which the subject document was filed.  The court's

 19-2    finding may be made solely on a review of the documents attached to

 19-3    the motion and without hearing any testimonial evidence.  The

 19-4    court's review may be made ex parte without delay or notice of any

 19-5    kind.

 19-6          (c)  The district clerk may not collect a filing fee for

 19-7    filing a motion under this section.

 19-8          (d)  After reviewing the documents attached to a motion under

 19-9    this section, the district judge shall enter an appropriate finding

19-10    of fact and conclusion of law, which must be filed and indexed in

19-11    the same class of records in which the subject document or

19-12    instrument was originally filed.

19-13          (e)  The county clerk may not collect a filing fee for filing

19-14    a district judge's finding of fact and conclusion of law under this

19-15    section.

19-16          (f)  A suggested form order appropriate to comply with this

19-17    section is as follows:

19-18                        MISC. DOCKET NO. __________

19-19    In Re:  A Purported                In the _______ Judicial District

19-20    Lien or Claim Against              In and For _____________________

19-21    (Name of Purported                 County, Texas                   

19-22    Debtor)

19-23        Judicial Finding of Fact and Conclusion of Law Regarding a

19-24        Document or Instrument Purporting to Create a Lien or Claim

19-25          On the (number) day of (month), (year), in the above entitled

19-26    and numbered cause, this court reviewed a motion of (name) and the

19-27    documents attached thereto.  No testimony was taken from any party,

 20-1    nor was there any notice of the court's review, the court having

 20-2    made the determination that a decision could be made solely on

 20-3    review of the document or instrument under the authority vested in

 20-4    the court under Subchapter J, Chapter 51, Government Code.

 20-5          The court finds as follows (only an item checked and

 20-6    initialed is a valid court ruling):

 20-7    _______  The document or instrument attached to the motion herein

 20-8    IS asserted against real or personal property or an interest in

 20-9    real or personal property and:

20-10                (1)  IS provided for by specific state or federal

20-11    statutes or constitutional provisions;

20-12                (2)  IS created by implied consent or express consent

20-13    as evidenced by the originally signed and attested or acknowledged

20-14    signature of the obligor, debtor, or the owner of the real or

20-15    personal property or an interest in the real or personal property,

20-16    if required under the laws of this state, or by consent of an

20-17    agent, fiduciary, or other representative of that person; or

20-18                (3)  IS an equitable, constructive, or other lien

20-19    imposed by a court with jurisdiction.

20-20    This document may be filed and recorded.

20-21    _______  The document or instrument attached to the motion herein:

20-22                (1)  IS NOT provided for by specific state or federal

20-23    statutes or constitutional provisions;

20-24                (2)  IS NOT created by implied consent or express

20-25    consent as evidenced by the originally signed and attested or

20-26    acknowledged signature of the obligor, debtor, or the owner of the

20-27    real or personal property or an interest in the real or personal

 21-1    property, if required under the law of this state or by consent of

 21-2    an agent, fiduciary, or other representative of that person;

 21-3                (3)  IS NOT an equitable, constructive, or other lien

 21-4    imposed by a court with jurisdiction; or

 21-5                (4)  IS NOT asserted against real or personal property

 21-6    or an interest in real or personal property.

 21-7    There is no valid lien or claim created by this document or

 21-8    instrument.

 21-9          This court makes no finding as to any underlying claim of the

21-10    parties involved, and expressly limits its finding and conclusion

21-11    in the same class of records as the subject document or instrument

21-12    was originally filed, and directs the county clerk to index it

21-13    using the same names as were used in indexing the subject document

21-14    or instrument.

21-15          SIGNED ON THIS THE ________ DAY OF _________________________.

21-16                                      _________________________________

21-17                                      DISTRICT JUDGE                   

21-18                                      ________ JUDICIAL DISTRICT      

21-19                                      ___________________ COUNTY, TEXAS

21-20          Sec. 51.904.  WARNING SIGN.  A clerk described by Section

21-21    51.901(a) shall post a sign, in letters at least one inch in

21-22    height, that is clearly visible to the general public in or near

21-23    the clerk's office stating that it is a crime to file a fraudulent

21-24    court record or a fraudulent instrument with the clerk.

21-25          Sec. 51.905.  DOCUMENTS FILED WITH SECRETARY OF STATE.

21-26    (a)  If the lien or other claim that is the subject of a judicial

21-27    finding of fact and conclusion of law authorized by this subchapter

 22-1    is one that is authorized by law to be filed with the secretary of

 22-2    state, any person may file a certified copy of the judicial finding

 22-3    of fact and conclusion of law in the records of the secretary of

 22-4    state, who shall file the certified copy of the finding in the same

 22-5    class of records as the subject document or instrument was

 22-6    originally filed and index it using the same names that were used

 22-7    in indexing the subject document or instrument.

 22-8          (b)  The secretary of state may charge a filing fee of $15

 22-9    for filing a certified copy of a judicial finding of fact and

22-10    conclusion of law under this section.

22-11          SECTION 15.  Section 12.013, Property Code, is amended to

22-12    read as follows:

22-13          Sec. 12.013.  JUDGMENT.  A judgment or an abstract of a

22-14    judgment of a court [in this state] may be recorded if:

22-15                (1)  the judgment is of a court:

22-16                      (A)  expressly created or established under the

22-17    constitution or laws of this state or of the United States;

22-18                      (B)  that is a court of a foreign country and

22-19    that is recognized by an Act of congress or a treaty or other

22-20    international convention to which the United States is a party; or

22-21                      (C)  of any other jurisdiction, territory, or

22-22    protectorate entitled to full faith and credit in this state under

22-23    the Constitution of the United States; and

22-24                (2)  the judgment is attested under the signature and

22-25    seal of the clerk of the court that rendered the judgment.

22-26          SECTION 16.  Subtitle A, Title 2, Civil Practice and Remedies

22-27    Code, is amended by adding Chapter 11 to read as follows:

 23-1            CHAPTER 11. LIABILITY RELATED TO A FRAUDULENT COURT

 23-2          RECORD OR A FRAUDULENT LIEN OR CLAIM FILED AGAINST REAL

 23-3                           OR PERSONAL PROPERTY

 23-4          Sec. 11.001.  DEFINITIONS.  In this chapter:

 23-5                (1)  "Court record" has the meaning assigned by Section

 23-6    37.01, Penal Code.

 23-7                (2)  "Exemplary damages" has the meaning assigned by

 23-8    Section 41.001.

 23-9                (3)  "Lien" means a claim in property for the payment

23-10    of a debt and includes a security interest.

23-11                (4)  "Public servant" has the meaning assigned by

23-12    Section 1.07, Penal Code, and includes officers and employees of

23-13    the United States.

23-14          Sec. 11.002.  LIABILITY.  (a)  A person may not make,

23-15    present, or use a document or other record with:

23-16                (1)  knowledge that the document or other record is a

23-17    fraudulent court record or a fraudulent lien or claim against real

23-18    or personal property or an interest in real or personal property;

23-19                (2)  the intent that the document or other record be

23-20    given the same legal effect as a genuine court record or document

23-21    evidencing a valid lien or claim against real or personal property

23-22    or an interest in real or personal property; and

23-23                (3)  the intent to cause another person to suffer:

23-24                      (A)  physical injury;

23-25                      (B)  financial injury; or

23-26                      (C)  mental anguish or emotional distress.

23-27          (b)  A person who violates Subsection (a) is liable to each

 24-1    injured person for:

 24-2                (1)  the greater of:

 24-3                      (A)  $10,000; or

 24-4                      (B)  the actual damages caused by the violation;

 24-5                (2)  court costs;

 24-6                (3)  reasonable attorney's fees; and

 24-7                (4)  exemplary damages in an amount determined by the

 24-8    court.

 24-9          Sec. 11.003.  CAUSE OF ACTION.  (a)  The following persons

24-10    may bring an action to enjoin violation of this chapter or to

24-11    recover damages under this chapter:

24-12                (1)  the attorney general;

24-13                (2)  a district attorney;

24-14                (3)  a criminal district attorney;

24-15                (4)  a county attorney with felony responsibilities;

24-16                (5)  a county attorney;

24-17                (6)  a municipal attorney;

24-18                (7)  in the case of a fraudulent judgment lien, the

24-19    person against whom the judgment is rendered; and

24-20                (8)  in the case of a fraudulent lien or claim against

24-21    real or personal property or an interest in real or personal

24-22    property, the obligor or debtor, or a person who owns an interest

24-23    in the real or personal property.

24-24          (b)  Notwithstanding any other law, a person does not have a

24-25    duty to disclose a fraudulent court record, document, or instrument

24-26    purporting to create a lien or purporting to assert a claim on real

24-27    property or an interest in real property in connection with a sale,

 25-1    conveyance, mortgage, or other transfer of the real property or

 25-2    interest in real property.

 25-3          Sec. 11.004.  VENUE.  An action under this chapter may be

 25-4    brought in any district court in the county in which the recorded

 25-5    document is recorded or in which the real property is located.

 25-6          Sec. 11.005.  FILING FEES.  (a)  The fee for filing an action

 25-7    under this chapter is $15.  The plaintiff must pay the fee to the

 25-8    clerk of the court in which the action is filed.  Except as

 25-9    provided by Subsection (b), the plaintiff may not be assessed any

25-10    other fee, cost, charge, or expense by the clerk of the court or

25-11    other public official in connection with the action.

25-12          (b)  The fee for service of notice of an action under this

25-13    section charged to the plaintiff may not exceed:

25-14                (1)  $20 if the notice is delivered in person; or

25-15                (2)  the cost of postage if the service is by

25-16    registered or certified mail.

25-17          (c)  A plaintiff who is unable to pay the filing fee and fee

25-18    for service of notice may file with the court an affidavit of

25-19    inability to pay under the Texas Rules of Civil Procedure.

25-20          (d)  If the fee imposed under Subsection (a) is less than the

25-21    filing fee the court imposes for filing other similar actions and

25-22    the plaintiff prevails in the action, the court may order a

25-23    defendant to pay to the court the differences between the fee paid

25-24    under Subsection (a) and the filing fee the court imposes for

25-25    filing other similar actions.

25-26          Sec. 11.006.  PLAINTIFF'S COSTS.  (a)  The court shall award

25-27    the plaintiff the costs of bringing the action if:

 26-1                (1)  the plaintiff prevails; and

 26-2                (2)  the court finds that the defendant, at the time

 26-3    the defendant caused the recorded document to be recorded or filed,

 26-4    knew or should have known that the recorded document is fraudulent,

 26-5    as described by Section 51.901, Government Code.

 26-6          (b)  For purposes of this section, the costs of bringing the

 26-7    action include all court costs, attorney's fees, and related

 26-8    expenses of bringing the action, including investigative expenses.

 26-9          Sec. 11.007.  EFFECT ON OTHER LAW.  This law is cumulative of

26-10    other law under which a person may obtain judicial relief with

26-11    respect to a recorded document or other record.

26-12          SECTION 17.  Section 9.412(c), Business & Commerce Code, is

26-13    repealed.

26-14          SECTION 18.  An action for an order under Subchapter J,

26-15    Chapter 51, Government Code, as added by this Act, may be brought

26-16    with respect to a recorded document without regard to whether the

26-17    document was filed before, on, or after the effective date of this

26-18    Act.

26-19          SECTION 19.  The change in law made by Section 16 of this Act

26-20    applies only to a cause of action that accrues on or after the

26-21    effective date of this Act.  A cause of action that accrues before

26-22    the effective date of this Act is governed by the law in effect on

26-23    the date the cause of action accrues, and that law is continued in

26-24    effect for this purpose.

26-25          SECTION 20.  (a)  The change in law made by this Act applies

26-26    only to a criminal offense committed on or after the effective date

26-27    of this Act.  For the purposes of this Act, a criminal offense is

 27-1    committed before the effective date of this Act if any element of

 27-2    the offense occurs before that date.

 27-3          (b)  An offense committed before the effective date of this

 27-4    Act is covered by the law in effect when the criminal offense was

 27-5    committed, and the former law is continued in effect for this

 27-6    purpose.

 27-7          SECTION 21.  The importance of this legislation and the

 27-8    crowded condition of the calendars in both houses create an

 27-9    emergency and an imperative public necessity that the

27-10    constitutional rule requiring bills to be read on three several

27-11    days in each house be suspended, and this rule is hereby suspended,

27-12    and that this Act take effect and be in force from and after its

27-13    passage, and it is so enacted.