By Armbrister S.B. No. 846 75R5054 MLS-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the waiver of sovereign immunity in certain contract 1-3 actions. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Title 5, Civil Practice and Remedies Code, is 1-6 amended by adding Chapter 111 to read as follows: 1-7 CHAPTER 111. PERMISSION TO SUE THE STATE; CONTRACT ACTIONS 1-8 Sec. 111.001. DEFINITIONS. In this chapter: 1-9 (1) "Claimant" means a person with a claim described 1-10 by Section 111.002. 1-11 (2) "Unit of state government" means the state or an 1-12 agency, department, bureau, board, commission, office, council, 1-13 court, institution of higher education as that term is defined by 1-14 Section 61.003, Education Code, or another entity that is created 1-15 by the constitution or a statute of this state and that has 1-16 statewide jurisdiction. 1-17 Sec. 111.002. APPLICABILITY. This chapter applies only to a 1-18 cause of action arising from the breach of a contract with a unit 1-19 of state government. 1-20 Sec. 111.003. PERMISSION TO SUE; SOVEREIGN IMMUNITY FROM 1-21 SUIT FOR CERTAIN CLAIMS. (a) A claimant may bring an action 1-22 against a unit of state government that alleges that the unit of 1-23 state government has breached a contract with the claimant. 1-24 (b) The total amount of damages awarded to a claimant in a 2-1 suit brought under this chapter may not exceed the total value of 2-2 the contract. 2-3 Sec. 111.004. WAIVER OF SOVEREIGN IMMUNITY. The state 2-4 waives its sovereign immunity from suit and liability under common 2-5 law to the extent authorized by Section 111.003. 2-6 Sec. 111.005. INAPPLICABILITY TO CERTAIN CLAIMS. This 2-7 chapter does not apply to a claim for personal injury or wrongful 2-8 death arising from a breach of contract. 2-9 Sec. 111.006. VENUE. A suit brought under this chapter 2-10 shall be brought in Travis County. 2-11 Sec. 111.007. LIMITATIONS PERIOD. A claimant must bring 2-12 suit under this chapter not later than two years after the date the 2-13 cause of action accrues. 2-14 Sec. 111.008. SERVICE OF CITATION. In an action to which 2-15 this chapter applies, service of citation and other required 2-16 process must be made on the attorney general and on the 2-17 administrative head of the unit of state government with which the 2-18 person contracted. 2-19 Sec. 111.009. PAYMENT OF JUDGMENT OR SETTLEMENT. A unit of 2-20 state government shall pay a judgment or settlement under this 2-21 chapter from money appropriated to the unit of state government 2-22 that the unit of state government is authorized to use for the 2-23 goods, services, or property obtained under the contract on which 2-24 the suit was based. 2-25 SECTION 2. This Act takes effect September 1, 1997. 2-26 SECTION 3. (a) This Act applies to: 2-27 (1) a contract entered into on or after the effective 3-1 date of this Act; and 3-2 (2) a contract entered into not more than four years 3-3 before the effective date of this Act. 3-4 (b) A contract entered into more than four years before the 3-5 effective date of this Act is governed by the law as it existed 3-6 immediately before the effective date of this Act, and that law is 3-7 continued in effect for that purpose. 3-8 SECTION 4. The importance of this legislation and the 3-9 crowded condition of the calendars in both houses create an 3-10 emergency and an imperative public necessity that the 3-11 constitutional rule requiring bills to be read on three several 3-12 days in each house be suspended, and this rule is hereby suspended.