1-1     By:  Bivins                                            S.B. No. 776
 1-2           (In the Senate - Filed March 2, 1999; March 3, 1999, read
 1-3     first time and referred to Committee on Economic Development;
 1-4     April 23, 1999, reported adversely, with favorable Committee
 1-5     Substitute by the following vote:  Yeas 7, Nays 0; April 23, 1999,
 1-6     sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 776                  By:  Jackson
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to interest on judgments in certain civil actions.
1-11           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-12           SECTION 1.  Subsection (c), Section 304.003, Finance Code, is
1-13     amended to read as follows:
1-14           (c)  The judgment interest rate is the sum of:
1-15                 (1)  the auction rate quoted on a discount basis for
1-16     52-week treasury bills issued by the United States government as
1-17     most recently published by the Federal Reserve Board before the
1-18     date of the computation; and
1-19                 (2)  two percentage points [10 percent if the auction
1-20     rate described by Subdivision (1) is less than 10 percent; or]
1-21                 [(3)  20 percent if the auction rate described by
1-22     Subdivision (1) is more than 20 percent].
1-23           SECTION 2.  Subchapter B, Chapter 304, Finance Code, is
1-24     amended by adding Section 304.109 to read as follows:
1-25           Sec. 304.109.  PREJUDGMENT INTEREST ON FUTURE DAMAGES
1-26     PROHIBITED. A court may not award prejudgment interest on future
1-27     damages.
1-28           SECTION 3.  This Act applies only to a suit commenced on or
1-29     after the effective date of this Act.  A suit commenced before the
1-30     effective date of this Act is governed by the law applicable to the
1-31     suit immediately before the effective date of this Act, and that
1-32     law is continued in effect for that purpose.
1-33           SECTION 4.  To the extent of any conflict, this Act prevails
1-34     over another Act of the 76th Legislature, Regular Session, 1999,
1-35     relating to nonsubstantive additions and corrections in enacted
1-36     codes.
1-37           SECTION 5.  The importance of this legislation and the
1-38     crowded condition of the calendars in both houses create an
1-39     emergency and an imperative public necessity that the
1-40     constitutional rule requiring bills to be read on three several
1-41     days in each house be suspended, and this rule is hereby suspended,
1-42     and that this Act take effect and be in force from and after its
1-43     passage, and it is so enacted.
1-44                                  * * * * *