By Moncrief                                           S.B. No. 1591
         77R8904 DAK-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to exemplary damages.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Section 41.008, Civil Practice and Remedies Code,
 1-5     is amended by amending Subsection (b) and adding Subsection (f) to
 1-6     read as follows:
 1-7           (b)  Exemplary damages awarded against a defendant may not
 1-8     exceed an amount equal to the greater of:
 1-9                 (1)(A)  two times the amount of economic damages;  plus
1-10                       (B)  an amount equal to any noneconomic damages
1-11     found by the jury, not to exceed $751,000 [$750,000];  or
1-12                 (2)  $200,000.
1-13           (f)  Subsection (c) does not apply unless the conduct is
1-14     shown by clear and convincing evidence.
1-15           SECTION 2.  Section 41.013(a), Civil Practice and Remedies
1-16     Code, is amended to read as follows:
1-17           (a)  Except as provided for in Subsection (b), an appellate
1-18     court that reviews the evidence with respect to a finding by a
1-19     trier of fact concerning liability for exemplary damages or with
1-20     respect to the amount of exemplary damages awarded shall state, in
1-21     a written opinion, the court's reasons for upholding or disturbing
1-22     the finding or award.  The written opinion must be agreed to by all
1-23     the justices of the court and shall address the evidence or lack of
1-24     evidence with specificity, as it relates to the liability for or
 2-1     amount of exemplary damages, in light of the requirements of this
 2-2     chapter.
 2-3           SECTION 3.  (a)  This Act takes effect September 1, 2001.
 2-4           (b)  This Act applies only to an action commenced:
 2-5                 (1)  on or after the effective date of this Act; or
 2-6                 (2)  before the effective date of this Act if final
 2-7     judgment in the action has not been entered before the effective
 2-8     date of this Act.
 2-9           (c)  An action commenced before the effective date of this
2-10     Act in which final judgment has been entered before the effective
2-11     date of this Act is governed by the law applicable to the action
2-12     immediately before the effective date of this Act, and that law is
2-13     continued in effect for that purpose.