SRC-JXG C.S.H.B. 1521 76(R)BILL ANALYSIS


Senate Research CenterC.S.H.B. 1521
76R14971 SMH-FBy: Siebert (Harris)
Jurisprudence
5/11/1999
Committee Report (Substituted)


DIGEST 

Currently, the penalty provisions regarding professional licensing statutes
which regulate the behavior of real property professionals, such as land
surveyors, appraisers, realtors, and time share professionals, have been
enacted, but not updated. C.S.H.B. 1521 would update the penalty provisions
of various licensing sections regarding the behavior of real property
professionals. 

PURPOSE

As proposed, C.S.H.B. 1521 sets forth provisions regarding penalties for
violating certain real property statutes.  

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 23A(b), Article 5282c, V.T.C.S. (Professional
Land Surveying Practices Act), to provide that the penalty for each
violation may be in an amount not to exceed $1,500, rather than $1,000, for
each violation. 

SECTION 2. Amends Section 23B, Article 5282c, V.T.C.S., to require the
attorney general, on request of the Texas Board of Professional Land
Surveying (board), to institute and conduct a suit to collect the penalty
in the name of the state. Makes conforming changes. 

SECTION 3. Amends Article 6573a.1, V.T.C.S., to provide that a person
commits an offense if the person wilfully violates or fails to comply with
any of the provisions of the Real Estate License Act or any order of the
Texas Real Estate Commission (commission). Provides that an offense under
this article is a Class A misdemeanor. Deletes text regarding conviction
fines. Makes conforming changes. 

SECTION 4. Amends Section 12(j), Article 6573a.2, V.T.C.S. (Texas Appraiser
Licensing and Certification Act), to prohibit a civil penalty under this
subsection from being less than $1,000, rather than $500, or more than
$10,000. 

SECTION 5. Amends Section 12A(j), Article 6573a.2, V.T.C.S., to  require
the board to make findings of facts and conclusions of law and to impose an
administrative penalty to be set at the discretion of the board at an
amount that may not exceed $1,500, rather than $1,000, for each violation.  

SECTION 6. Amends Section 22, Article 6573b, V.T.C.S. (Residential Service
Company Act), to authorize the commission to bring an action in the name of
the state in a district court of Travis County, Texas, to restrain or
otherwise enjoin the violation and for such other relief as the court may
deem appropriate, when it appears to the commission that a service company
is violating or has violated this Act or a rule issued under, rather than
pursuant to, this Act and that bringing an action would be in the public
interest.  Provides that the commission has exclusive authority to bring an
action under this section.  Requires the court to grant, without bond, the
injunctive relief warranted by the facts, on application and a finding that
a service company is violating or has violated this Act or a rule issued
under this Act.  Makes conforming changes. 

 SECTION 7. Amends Article 6573b, V.T.C.S., by amending Section 23 and
adding Section 23A, as follows: 

Sec. 23. CIVIL PENALTY.  Authorizes the commission to bring an action for a
civil penalty for a violation of this Act.  Prohibits the penalty from
exceeding $2,500 for each violation or $50,000 in the aggregate for all
violations of a similar nature.  Provides that violations are of a similar
nature if the violations consist of the same or similar course of conduct,
action, or practice, regardless of the number of times the conduct, act, or
practice determined to be a violation of this Act occurred.  Deletes text
regarding deceptive trade and $1,000 civil penalty.  Makes a nonsubstantive
change.   

Sec. 23A. ACTION UNDER DECEPTIVE TRADE PRACTICES ACT.  Provides that a
violation of this Act is actionable by a consumer as a deceptive trade
practice under Chapter 17E, Business and Commerce Code.  Deletes text
requiring a plaintiff who shows a violation of this Act to recover court
costs and attorney's fees that are reasonable in relation to the amount of
work expended.  Deletes text regarding Subchapter E.  Makes conforming
changes.   

SECTION 8. Amends Section 12.002(e), Property Code, to make a conforming
change. 

SECTION 9. Amends Section 221.073(c), Property Code, to prohibit a person
from being prosecuted for more than one offense involving the same
promotion, even if mailed or distributed to more than one person.  Makes a
conforming and nonsubstantive change. 

SECTION 10. Amends Sections 221.075(b) and (c), Property Code, to provide
that in no event shall the civil penalties exceed $30,000, rather than
$25,000, for any one statement period. Makes a conforming change. 

SECTION 11. Makes application of this Act retroactive for Sections 1, 2, 4,
5, 7, and 10. 
  Makes application of this Act prospective for Sections 3, 6, 8, and 9.

SECTION 12. Emergency clause.
  Effective date: upon passage.




SUMMARY OF COMMITTEE CHANGES

SECTION 6.

Amends Section 22, Article 6573b, V.T.C.S., to authorize the commission to
bring an action in the name of the state in a district court of Travis
County, Texas, to restrain or otherwise enjoin the violation and for such
other relief as the court may deem appropriate, when it appears to the
commission that a service company is violating or has violated this Act or
a rule issued under, rather than pursuant to, this Act and that bringing an
action would be in the public interest.  Provides that the commission has
exclusive authority to bring an action under this section.  Requires the
court to grant, without bond, the injunctive relief warranted by the facts,
on application and a finding that a service company is violating or has
violated this Act or a rule issued under this Act.  Makes conforming
changes.  Redesignates proposed SECTION 6 as SECTION 8. 

SECTION 7.

Amends Section 23, Article 6573b, V.T.C.S., to authorize the commission to
bring an action for a civil penalty for a violation of this Act.  Prohibits
the penalty from exceeding $2,500 for each violation or $50,000 in the
aggregate for all violations of a similar nature.  Provides that violations
are of a similar nature if the violations consist of the same or similar
course of conduct, action, or practice, regardless of the number of times
the conduct, act, or practice determined to be a violation of this Act
occurred, for purposes of this section.  Deletes text regarding deceptive
trade practice and $1,000 civil penalty.  Makes a conforming change. 
 
Adds Section 23A, Article 6573b, V.T.C.S., regarding action under the
Deceptive Trade Practices Act. Redesignates proposed SECTION 7 as SECTION
9. 

SECTION 9.

 Redesignates the proposed prospective clause in SECTION 9 as SECTION 11. 
 
SECTION 11.

Adds a retroactive clause for Sections 1, 2, 4, 5, 7, and 10 of this Act.
Adds a prospective clause for Sections 3, 6, 8, and 9 of this Act.  

SECTION 12.

Adds the emergency clause.  Redesignates proposed SECTION 10 as SECTION 12.
Adds the effective date of upon passage.