79R4006 HLT-D

By:  McCall                                                       H.B. No. 698



A BILL TO BE ENTITLED

AN ACT

relating to the disposal of certain business records that contain 
personal identifying information; providing a civil penalty.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  The heading to Section 35.48, Business &
Commerce Code, is amended to read as follows:
	Sec. 35.48.  RETENTION AND DISPOSAL OF BUSINESS RECORDS.                
	SECTION 2.  Section 35.48(a), Business & Commerce Code, is 
amended by adding Subdivisions (1-a) and (3) to read as follows:
		(1-a)  "Personal identifying information" means 
information that alone or in conjunction with other information 
identifies an individual, living or dead.  The term includes an 
individual's:
			(A)  name, date of birth, or social security 
number or other government-issued identification number;
			(B)  mother's maiden name;                                            
			(C)  unique biometric data, including the 
individual's fingerprint, voice print, and retina or iris image;
			(D)  unique electronic identification number, 
address, or routing code;
			(E)  telecommunication access device, including 
debit and credit card information;
			(F)  financial institution account number or any 
other financial information; and
			(G)  telephone number.                                                
		(3)  "Telecommunication access device" has the meaning 
assigned by Section 32.51, Penal Code.
	SECTION 3.  Section 35.48, Business & Commerce Code, is 
amended by adding Subsections (d) and (e) to read as follows:
	(d)  A business that disposes of a business record that 
contains personal identifying information of a customer of the 
business shall modify, by shredding, erasing, or other means, the 
personal identifying information to make it unreadable or 
undecipherable.
	(e)  A business that does not dispose of a business record of 
a customer in the manner required by Subsection (d) is liable for a 
civil penalty of up to $1,000 for each record. The attorney general 
may bring an action against the business to:
		(1)  recover the civil penalty;                                        
		(2)  obtain any other remedy, including injunctive 
relief; and       
		(3)  recover costs and reasonable attorney's fees 
incurred in bringing the action.
	SECTION 4.  This Act applies to the disposal of business 
records without regard to whether the records were created before, 
on, or after the effective date of this Act.
	SECTION 5.  This Act takes effect September 1, 2005.