SRC-JXG S.C.R. 8 76(R)   BILL ANALYSIS


Senate Research Center   S.C.R. 8
76R4058 MDR-DBy: Lindsay
Jurisprudence
2/9/1999
As Filed


DIGEST 

Currently, ARAMARK Sports and Entertainment Services of Texas, Inc.
(ARAMARK), formerly doing business as Araserve Campus Dining Services of
Texas, Inc., alleges that it entered into an agreement with Texas Southern
University (TSU) in 1981 to provide food and beverages, and other products
and services, and sold and delivered certain goods and services from
November 24, 1989 to August 23, 1991. ARAMARK also alleges that on or about
November 3, 1993, it filed a lawsuit against TSU for failure to remit
certain principal and interest payments due under the terms of the 1981
agreement. This legislation authorizes ARAMARK to sue the State of Texas
and TSU. 

PURPOSE

As proposed, S.C.R. 8 submits the following resolutions:

That ARAMARK Sports and Entertainment Services of Texas (ARAMARK) is
authorized to sue the State of Texas and Texas Southern University (TSU)
subject to Chapter 107, Civil Practice and Remedies Code. 

That the suit shall be brought in Harris County, except if the contract
that is the subject of the suit requires that the suit be brought in
another county. 

That ARAMARK may not plead an amount in excess of $400,000 in damages,
including any court costs, attorney's fees, and prejudgment interest
awarded under law. 

That payment of any damages awarded in a suit from the state treasury is
subject to appropriation. 

That any damages awarded in a suit are required to be paid from money
appropriated or available to TSU. Provides that any additional money should
not be appropriated for the purpose of paying those damages. 

That the remedies available to ARAMARK are limited to the remedies
available for breach of contract and quasi-contract, except that ARAMARK
cannot recover consequential damages resulting from any breach of contract,
and that this resolution does not authorize suit on any claim that sounds
in tort. 

That ARAMARK and TSU may agree to submit the matter that is the subject of
this resolution to binding arbitration. 

That none of the court records, pleadings, motions, or discovery related to
the suit may be sealed by the court or the parties from public inspection. 

That the provisions of this resolution are not severable or held to be
invalid by a court of competent jurisdiction. 

That the president of TSU is served process as provided by Section
107.002(a)(3), Civil Practice and Remedies Code.