79R9108 KSD-D

By:  Pena                                                         H.B. No. 2277


A BILL TO BE ENTITLED
AN ACT
relating to an employment agreement that requires an employee to waive the right to demand a jury trial. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subtitle A, Title 2, Labor Code, is amended by adding Chapter 25 to read as follows:
CHAPTER 25. RESTRICTIONS ON EMPLOYMENT AGREEMENTS
Sec. 25.001. WAIVER OF RIGHT TO DEMAND JURY TRIAL PROHIBITED. Notwithstanding any other law, an employment agreement under which an employee is required to waive, as a condition of employment, the employee's right to demand a jury trial is void and against the public policy of this state unless the employment agreement provides for arbitration. SECTION 2. Chapter 25, Labor Code, as added by this Act, applies only to an employment agreement entered into on or after the effective date of this Act. An employment agreement entered into before the effective date of this Act is governed by the law in effect on the date the agreement was entered into, and the former law is continued in effect for that purpose. SECTION 3. This Act takes effect September 1, 2005.