By Wentworth                                    S.B. No. 1855

      75R6635 DAK-F                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the specification of venue for actions arising from

 1-3     certain major transactions.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Subchapter B, Chapter 15, Civil Practice and

 1-6     Remedies Code, is amended by adding Section 15.019 to read as

 1-7     follows:

 1-8           Sec. 15.019.  MAJOR TRANSACTIONS:  SPECIFICATION OF VENUE BY

 1-9     AGREEMENT.  (a)  In this section, "major transaction" means one

1-10     transaction or a series of transactions under which a person pays

1-11     or receives, or is obligated to pay or entitled to receive,

1-12     consideration with an aggregate value equal to or greater than $1

1-13     million.  The term does not include a transaction or series of

1-14     transactions entered into primarily for personal, family, or

1-15     household purposes without regard to the aggregate value.

1-16           (b)  An action arising from a major transaction shall be

1-17     brought in a county if the party against whom the action is brought

1-18     has agreed in writing that a suit arising from the transaction may

1-19     be brought in that county.

1-20           (c)  Notwithstanding any other provision of this title, an

1-21     action arising from a major transaction may not be brought in a

1-22     county if:

1-23                 (1)  the party bringing the action has agreed in

1-24     writing that an action arising from the transaction may not be

 2-1     brought in that county, and the action may be brought in another

 2-2     county of this state or in another jurisdiction; or

 2-3                 (2)  the party bringing the action has agreed in

 2-4     writing that an action arising from the transaction must be brought

 2-5     in another county of this state or in another jurisdiction, and the

 2-6     action may be brought in that other county, under this section or

 2-7     otherwise, or in that other jurisdiction.

 2-8           (d)  This section does not apply to an action if:

 2-9                 (1)  the agreement described by this section was

2-10     unconscionable at the time that it was made;

2-11                 (2)  the agreement regarding venue is voided under

2-12     Section 35.52, Business & Commerce Code; or

2-13                 (3)  venue is established under a statute of this state

2-14     other than this title.

2-15           (e)  This section does not affect venue and jurisdiction in

2-16     an action arising from a transaction that is not a major

2-17     transaction.

2-18           SECTION 2.  This Act applies only to a cause of action

2-19     accruing on or after the effective date of this Act, without regard

2-20     to whether an agreement relating to the venue of the action was

2-21     made before, on, or after the effective date of this Act.  A cause

2-22     of action accruing before the effective date of this Act is

2-23     governed by the law in effect at the time the cause of action

2-24     accrued, and that law is continued in effect for that purpose.

2-25           SECTION 3.  The importance of this legislation and the

2-26     crowded condition of the calendars in both houses create an

2-27     emergency and an imperative public necessity that the

 3-1     constitutional rule requiring bills to be read on three several

 3-2     days in each house be suspended, and this rule is hereby suspended,

 3-3     and that this Act take effect and be in force from and after its

 3-4     passage, and it is so enacted.