1-1 By: West S.B. No. 1223
1-2 (In the Senate - Filed March 7, 2001; March 8, 2001, read
1-3 first time and referred to Committee on Jurisprudence;
1-4 March 29, 2001, reported adversely, with favorable Committee
1-5 Substitute by the following vote: Yeas 5, Nays 0; March 29, 2001,
1-6 sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 1223 By: West
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to court reporters and court reporting firms.
1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-12 SECTION 1. The heading of Chapter 52, Government Code, is
1-13 amended to read as follows:
1-14 CHAPTER 52. COURT REPORTERS AND SHORTHAND REPORTING FIRMS
1-15 SECTION 2. Section 52.001, Government Code, is amended by
1-16 adding Subdivisions (6) and (7) to read as follows:
1-17 (6) "Shorthand reporting firm," "court reporting
1-18 firm," and "affiliate office" mean an entity wholly or partly in
1-19 the business of providing court reporting or other related services
1-20 in this state.
1-21 (7) "Registration" means a registration issued by the
1-22 board.
1-23 SECTION 3. Section 52.002, Government Code, is amended to
1-24 read as follows:
1-25 Sec. 52.002. RULES. The supreme court may adopt rules
1-26 consistent with this chapter, including rules governing:
1-27 (1) the certification and conduct of official and
1-28 deputy court reporters and shorthand reporters; and
1-29 (2) the registration and conduct of court reporting
1-30 and shorthand reporting firms.
1-31 SECTION 4. Subsection (a), Section 52.011, Government Code,
1-32 is amended to read as follows:
1-33 (a) The Court Reporters Certification Board is appointed by
1-34 the supreme court and is composed of:
1-35 (1) one active district judge who serves as chairman;
1-36 (2) two active attorneys licensed in this state who
1-37 have been practicing members of the State Bar for more than the
1-38 five years immediately preceding their appointment to the board;
1-39 (3) two [three] active official court reporters who
1-40 have practiced shorthand reporting in this state for more than the
1-41 five years immediately preceding their appointment to the board;
1-42 (4) two [three] active certified shorthand reporters
1-43 who work on a free-lance basis and who have practiced shorthand
1-44 reporting for more than the five years immediately preceding their
1-45 appointment to the board; [and]
1-46 (5) one representative of a shorthand reporting firm
1-47 that is not owned by a certified shorthand reporter and that has
1-48 operated as a shorthand reporting firm in this state for more than
1-49 the three years immediately preceding the representative's
1-50 appointment to the board;
1-51 (6) one representative of a shorthand reporting firm
1-52 that is owned by a certified shorthand reporter and that has
1-53 operated as a shorthand reporting firm in this state for more than
1-54 the three years immediately preceding the representative's
1-55 appointment to the board; and
1-56 (7) four [three] public members who are citizens of
1-57 this state.
1-58 SECTION 5. Subsection (b), Section 52.012, Government Code,
1-59 is amended to read as follows:
1-60 (b) Seven [Five] members of the board constitute a quorum.
1-61 SECTION 6. Subsections (a) and (c), Section 52.013,
1-62 Government Code, are amended to read as follows:
1-63 (a) The board shall:
1-64 (1) administer and enforce this chapter;
2-1 (2) administer the examination prescribed by Section
2-2 52.023;
2-3 (3) [(2)] set the amount of each fee prescribed by
2-4 this chapter, subject to the approval of the supreme court;
2-5 (4) [(3)] charge and collect the fees prescribed by
2-6 this chapter; [and]
2-7 (5) [(4)] determine the qualifications and pass on the
2-8 eligibility of each person applying for certification or
2-9 recertification;
2-10 (6) maintain a record of each court reporting firm or
2-11 affiliate office that registers with the board as required by this
2-12 chapter; and
2-13 (7) issue a registration to each court reporting firm
2-14 or affiliate office that registers with the board.
2-15 (c) The board shall maintain:
2-16 (1) a complete record of each board proceeding;
2-17 (2) a complete record of each certification issued,
2-18 renewed, or revoked; [and]
2-19 (3) a complete record of each registration issued,
2-20 renewed, or revoked; and
2-21 (4) a detailed statement of receipts and
2-22 disbursements.
2-23 SECTION 7. The heading to Subchapter C, Chapter 52,
2-24 Government Code, is amended to read as follows:
2-25 SUBCHAPTER C. CERTIFICATION AND REGISTRATION
2-26 SECTION 8. The heading to Section 52.021, Government Code,
2-27 is amended to read as follows:
2-28 Sec. 52.021. CERTIFICATION OF REPORTERS.
2-29 SECTION 9. Subsections (g), (h), and (i), Section 52.021,
2-30 Government Code, are amended to read as follows:
2-31 (g) The board may enforce this section by seeking an
2-32 injunction or by filing a complaint against a person who is not
2-33 certified by the supreme court in the district court of the county
2-34 in which that person resides or Travis County. Said action for an
2-35 injunction shall be in addition to any other action, proceeding, or
2-36 remedy authorized by law. The board shall be represented by the
2-37 attorney general and/or the county or district attorney of this
2-38 state, or counsel designated and empowered by the board.
2-39 [(h) A court reporting firm shall register with the board by
2-40 completing an application in a form adopted by the board.]
2-41 [(i) Rules applicable to a court reporter are also
2-42 applicable to a court reporting firm. The board may enforce this
2-43 subsection by assessing a reasonable fee against a court reporting
2-44 firm.]
2-45 SECTION 10. Subchapter C, Chapter 52, Government Code, is
2-46 amended by adding Section 52.0255 to read as follows:
2-47 Sec. 52.0255. FIRM REGISTRATION. (a) A shorthand reporting
2-48 firm may not assume or use the title or designation "court
2-49 recording firm," "court reporting firm," or "shorthand reporting
2-50 firm" or any abbreviation, title, designation, words, letters,
2-51 sign, card, or device tending to indicate that the firm is a court
2-52 reporting firm or shorthand reporting firm, or offer services as a
2-53 court reporting firm or shorthand reporting firm, unless the firm
2-54 and its affiliate offices are registered with the board on a form
2-55 prescribed by the board as required by this chapter.
2-56 (b) The board may enforce this section against a firm, its
2-57 affiliate office, or both, if the firm or affiliate office is not
2-58 registered with the board, by seeking an injunction or by filing a
2-59 complaint in the district court of the county in which the firm or
2-60 affiliate office is located or in Travis County. An action for an
2-61 injunction is in addition to any other action, proceeding, or
2-62 remedy authorized by law. The attorney general, a county or
2-63 district attorney of this state, or counsel designated and
2-64 empowered by the board shall represent the board.
2-65 SECTION 11. Sections 52.026 and 52.027, Government Code, are
2-66 amended to read as follows:
2-67 Sec. 52.026. CERTIFICATION AND REGISTRATION FEE AND RENEWAL.
2-68 (a) A person who receives certification as a shorthand reporter or
2-69 a shorthand reporting firm or affiliate office that registers with
3-1 the board must pay the initial [certification] fee and any other
3-2 required fee before receiving the certification or registration.
3-3 (b) A certification or registration expires at 12:01 a.m. on
3-4 January 1 following the second anniversary of the date on which it
3-5 was issued unless the certification or registration is renewed.
3-6 Thereafter, the certification or registration expires at 12:01 a.m.
3-7 of each second January 1 unless renewed.
3-8 (c) To renew a certification or registration, the shorthand
3-9 reporter or shorthand reporting firm or affiliate office must pay
3-10 the renewal fee on or before the expiration date of the
3-11 certification or registration.
3-12 (d) The board may reinstate an expired certification or
3-13 registration if, not later than the 120th day after the date of
3-14 expiration, the applicant pays the renewal fee and any penalty fee.
3-15 The reinstatement dates from the original date of expiration.
3-16 (e) The board may reinstate a certification that has been
3-17 expired for more than 120 days if the board finds, on a sworn
3-18 affidavit of the applicant or by another method determined by the
3-19 board, that the applicant has retained the professional skills
3-20 required for original certification and has paid all delinquent
3-21 renewal fees and any penalty fee. The board may reinstate a
3-22 registration that has been expired for more than 120 days if the
3-23 board finds, on a sworn affidavit of the registrant or by another
3-24 method determined by the board, that the registrant has corrected
3-25 all deficiencies and has paid all delinquent renewal fees and any
3-26 outstanding fines. Reinstatement under this subsection expires on
3-27 January 1 nearest the second anniversary of the reinstatement.
3-28 Sec. 52.027. VERIFIED COMPLAINT. (a) To file a complaint
3-29 against a certified shorthand reporter or a shorthand reporting
3-30 firm or affiliate office registered with the board, a person must:
3-31 (1) have personal knowledge of the alleged violation;
3-32 (2) complete a complaint form provided by the board;
3-33 (3) [(2)] sign the completed form under oath; and
3-34 (4) [(3)] attach any pertinent documentary evidence to
3-35 the form.
3-36 (b) On receipt of a properly executed complaint, the board
3-37 shall furnish a copy of the complaint and any attachments to the
3-38 [certified] shorthand reporter or shorthand reporting firm or
3-39 affiliate office that [who] is the subject of the complaint.
3-40 (c) This section does not preclude the board or a court of
3-41 this state from filing a complaint against a certified shorthand
3-42 reporter or a shorthand reporting firm.
3-43 SECTION 12. Subsections (b) and (g), Section 52.028,
3-44 Government Code, are amended to read as follows:
3-45 (b) Immediately after setting the date for the hearing, the
3-46 board shall notify the shorthand reporter or shorthand reporting
3-47 firm or affiliate office that [who] is the subject of the
3-48 complaint. The notice must state the cause of any contemplated
3-49 disciplinary action and the time and place of the hearing. The
3-50 notice shall be mailed to the registered address of the shorthand
3-51 reporter or shorthand reporting firm or affiliate office not later
3-52 than the 30th day before the date on which the hearing is
3-53 scheduled.
3-54 (g) The board shall produce a written summary of the
3-55 evidence before it and a written finding of facts. The board shall
3-56 forward a copy of its findings of fact and rulings to the
3-57 complainant and any aggrieved party [person].
3-58 SECTION 13. Section 52.029, Government Code, is amended to
3-59 read as follows:
3-60 Sec. 52.029. DISCIPLINARY ACTIONS AGAINST COURT REPORTERS.
3-61 (a) After receiving a verified complaint and giving the certified
3-62 shorthand reporter notice and an opportunity for a hearing as
3-63 prescribed by Section 52.028, the board may revoke or suspend the
3-64 shorthand reporter's certification or issue a reprimand to the
3-65 reporter for:
3-66 (1) fraud or corruption;
3-67 (2) dishonesty;
3-68 (3) wilful or negligent violation or failure of duty;
3-69 (4) incompetence;
4-1 (5) fraud or misrepresentation in obtaining
4-2 certification;
4-3 (6) a final conviction of a criminal offense involving
4-4 moral turpitude that indicates a clear and rational likelihood that
4-5 the reporter will not properly discharge the responsibilities of a
4-6 certified shorthand reporter;
4-7 (7) engaging in the practice of shorthand reporting
4-8 using a method for which the reporter is not certified;
4-9 (8) engaging in the practice of shorthand reporting
4-10 while certification is suspended;
4-11 (9) unprofessional conduct, including giving directly
4-12 or indirectly, benefiting from, or being employed as a result of
4-13 any gift, incentive, reward, or anything of value to attorneys,
4-14 clients, or their representatives or agents, except for nominal
4-15 items that do not exceed $100 [$25 each transaction and $50] in the
4-16 aggregate for each recipient each year;
4-17 (10) entering into or providing services under a
4-18 prohibited contract described by Section 52.034; or
4-19 (11) other sufficient cause.
4-20 (b) The board may suspend the certification:
4-21 (1) for a designated period of time not to exceed 12
4-22 months;
4-23 (2) until the person corrects the deficiencies that
4-24 were the grounds for the suspension; or
4-25 (3) until the person complies with any conditions
4-26 imposed by the board to ensure the person's future performance as a
4-27 shorthand reporter.
4-28 (c) A suspended shorthand reporter may apply for
4-29 reinstatement by presenting proof that:
4-30 (1) the designated time has expired;
4-31 (2) the person has corrected the deficiencies; or
4-32 (3) the person has complied with the conditions
4-33 imposed by the board.
4-34 (d) On its own motion, the board may conduct a hearing to
4-35 inquire into a suspension. If the board finds that a person has
4-36 not corrected the deficiencies that were the grounds of the
4-37 suspension or has not complied with the conditions imposed by the
4-38 board, the board may revoke the person's certification.
4-39 (e) The supreme court may authorize and the board may adopt
4-40 rules relating to the nonrenewal of the certification of a court
4-41 reporter who is in default on a loan guaranteed under Chapter 57,
4-42 Education Code, by the Texas Guaranteed Student Loan Corporation.
4-43 SECTION 14. Subchapter C, Chapter 52, Government Code, is
4-44 amended by adding Section 52.0295 to read as follows:
4-45 Sec. 52.0295. DISCIPLINARY ACTIONS AGAINST FIRMS.
4-46 (a) After receiving a verified complaint and giving the shorthand
4-47 reporting firm or affiliate office notice and an opportunity for a
4-48 hearing as prescribed by Section 52.028, the board may reprimand,
4-49 assess a reasonable fine against, or suspend or revoke the
4-50 registration of a shorthand reporting firm or affiliate office for:
4-51 (1) fraud or corruption;
4-52 (2) dishonesty;
4-53 (3) conduct on the part of an officer, director, or
4-54 managerial employee of the shorthand reporting firm or affiliate
4-55 office if the officer, director, or managerial employee orders,
4-56 encourages, or permits conduct that the officer, director, or
4-57 managerial employee knows or should have known violates this
4-58 chapter;
4-59 (4) conduct on the part of an officer, director, or
4-60 managerial employee or agent of the shorthand reporting firm or
4-61 affiliate office who has direct supervisory authority over a person
4-62 for whom the officer, director, employee, or agent knows or should
4-63 have known violated this chapter and knowingly fails to take
4-64 reasonable remedial action to avoid or mitigate the consequences of
4-65 the person's actions;
4-66 (5) fraud or misrepresentation in obtaining
4-67 registration;
4-68 (6) a final conviction of an officer, director, or
4-69 managerial employee of a shorthand reporting firm or affiliate
5-1 office for a felony or misdemeanor that is directly related to the
5-2 provision of court reporting services;
5-3 (7) engaging the services of a reporter that the
5-4 shorthand reporting firm or affiliate office knew or should have
5-5 known was using a method for which the reporter is not certified;
5-6 (8) knowingly providing court reporting services while
5-7 the shorthand reporting firm's or affiliate office's registration
5-8 is suspended or engaging the services of a shorthand reporter whose
5-9 certification the shorthand reporting firm or affiliate office knew
5-10 or should have known was suspended;
5-11 (9) unprofessional conduct, including a pattern of
5-12 giving directly or indirectly or benefiting from or being employed
5-13 as a result of giving any gift, incentive, reward, or anything of
5-14 value to attorneys, clients, or their representatives or agents,
5-15 except for nominal items that do not exceed $100 in the aggregate
5-16 for each recipient each year;
5-17 (10) entering into or providing services under a
5-18 prohibited contract described by Section 52.034; or
5-19 (11) other sufficient cause.
5-20 (b) Nothing in Subsection (a)(9) shall be construed to
5-21 define providing value-added business services, including long-term
5-22 volume discounts, such as the pricing of products and services, as
5-23 prohibited gifts, incentives, or rewards.
5-24 (c) The board may suspend the registration of a shorthand
5-25 reporting firm or affiliate office:
5-26 (1) for a designated period of time;
5-27 (2) until the shorthand reporting firm or affiliate
5-28 office corrects the deficiencies that were the grounds for the
5-29 suspension; or
5-30 (3) until the shorthand reporting firm or affiliate
5-31 office complies with any conditions imposed by the board to ensure
5-32 the shorthand reporting firm's or affiliate office's future
5-33 performance.
5-34 (d) A shorthand reporting firm or affiliate office whose
5-35 registration is suspended may apply for reinstatement by presenting
5-36 proof that:
5-37 (1) the designated time has expired;
5-38 (2) the shorthand reporting firm or affiliate office
5-39 has corrected the deficiencies; or
5-40 (3) the shorthand reporting firm or affiliate office
5-41 has complied with the conditions imposed by the board.
5-42 (e) On its own motion, the board may conduct a hearing to
5-43 inquire into a suspension. If the board finds that a shorthand
5-44 reporting firm or affiliate office has not corrected the
5-45 deficiencies that were the grounds for the suspension or has not
5-46 complied with the conditions imposed by the board, the board may
5-47 revoke the registration of the shorthand reporting firm or
5-48 affiliate office.
5-49 SECTION 15. Section 52.030, Government Code, is amended to
5-50 read as follows:
5-51 Sec. 52.030. APPEAL OF DISCIPLINARY ACTION. An aggrieved
5-52 court reporter or shorthand reporting firm or affiliate office
5-53 [person] may appeal a disciplinary action of the board to a
5-54 district court in the county of the court reporter's [person's]
5-55 residence or the county in which the shorthand reporting firm or
5-56 affiliate office is located or in Travis County. The appeal shall
5-57 be by trial de novo, with or without a jury. If the aggrieved
5-58 person is the official or deputy court reporter of the court in
5-59 which the appeal will be heard or if the shorthand reporting firm
5-60 or affiliate office provides the official or deputy court reporter
5-61 of the court in which the appeal will be heard, the presiding judge
5-62 of the administrative judicial region shall appoint the judge of
5-63 another court or a retired judge to hear and determine the
5-64 complaint.
5-65 SECTION 16. The Court Reporters Certification Board shall
5-66 issue a registration as required by Subdivision (7), Subsection
5-67 (a), Section 52.013, Government Code, as added by this Act, to each
5-68 court reporting firm that registered with the board as required by
5-69 Subsection (h), Section 52.021, Government Code, before the
6-1 effective date of this Act.
6-2 SECTION 17. The supreme court shall appoint two
6-3 representatives of shorthand reporting firms to the Court Reporters
6-4 Certification Board as required by Subsection (a), Section 52.011,
6-5 Government Code, as amended by this Act, as follows:
6-6 (1) one representative appointed on the earliest date
6-7 after the effective date of this Act that the term of a member
6-8 appointed as an active official court reporter expires or otherwise
6-9 becomes vacant; and
6-10 (2) one representative appointed on the earliest date
6-11 after the effective date of this Act that the term of a member
6-12 appointed as an active certified shorthand reporter expires or
6-13 otherwise becomes vacant.
6-14 SECTION 18. This Act applies to services performed by a
6-15 Texas certified shorthand reporter or registered shorthand
6-16 reporting firm or its registered affiliate office to be used in
6-17 litigation filed in the State of Texas. If court reporting
6-18 services are performed outside this state for litigation filed in
6-19 the State of Texas, this Act applies only to the extent it does not
6-20 conflict with the rules, regulations, and statutes of the court
6-21 reporting profession in the state in which those services are
6-22 performed.
6-23 SECTION 19. This Act takes effect September 1, 2001.
6-24 * * * * *