79R16209 SMH-D


By:  Madden                                                       H.B. No. 2399

Substitute the following for H.B. No. 2399:                                   

By:  West                                                     C.S.H.B. No. 2399



A BILL TO BE ENTITLED

AN ACT

relating to liability for damages caused by a leak from or a 
malfunction or the improper operation or modification of a 
liquefied petroleum gas system or related equipment.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 113.301, Natural Resources Code, is 
amended to read as follows:
	Sec. 113.301.  LIMITATION OF LIABILITY OF LICENSED INSTALLER 
OR SERVICER.  A person is not liable for damages caused [solely] by 
a leak from, a malfunction of, or the improper operation of an LPG 
system or any part of an LPG system that the person delivered for 
installation in but did not install or service or that the person
installed or serviced in a residential, commercial, or public 
building or in a motor vehicle if:
		(1)  the person was licensed by the commission to 
perform the delivery, installation, or service;
		(2)  the delivery, installation, or service was 
performed in compliance with the safety rules and standards adopted 
by the commission;
		(3)  the person did not have [has no] control over the 
operation or use of the LPG system in the premises of the building 
in which it was installed or in the vehicle in which it was 
installed;
		(4)  the person was not negligent; and                                        
		(5)  the person did not supply a defective product that
[which] was a producing cause of harm.
	SECTION 2.  Subchapter K, Chapter 113, Natural Resources 
Code, is amended by adding Sections 113.302-113.304 to read as 
follows:
	Sec. 113.302.  LIMITATION OF LIABILITY IF SYSTEM MODIFIED.  
A person who is not otherwise responsible under Section 113.301 is 
not liable for damages caused, in whole or in part, by another 
person's modification of an LPG system, piping or other equipment 
that is part of a system, or an appliance that is connected or 
attached to a system, if the person has no knowledge of the other 
person's modification of the LPG system, piping or other equipment, 
or appliance.
	Sec. 113.303.  INVOICE NOT CONCLUSIVE PROOF OF KNOWLEDGE OF 
LEAKAGE.  For purposes of determining liability for harm caused by 
LPG leakage, the invoice for LPG delivered presented by a person who 
provides LP-gas service for an LPG system or who delivers LPG to the 
system may be considered by the fact finder for purposes of 
determining whether the person knew that the system was leaking but 
is not conclusive proof that the person knew of the leakage.
	Sec. 113.304.  CONSTRUCTION OF SUBCHAPTER.  This subchapter 
may not be construed to:
		(1)  exempt a person from complying with the 
requirements of this chapter or commission rules; or
		(2)  limit the authority of the commission to 
administer or ensure compliance with this chapter or commission 
rules.
	SECTION 3.  This Act applies only to a cause of action that 
accrues on or after the effective date of this Act.  A cause of 
action that accrued before the effective date of this Act is covered 
by the law in effect when the cause of action accrued, and that law 
is continued in effect for that purpose.
	SECTION 4.  Section 113.301, Natural Resources Code, as 
amended by this Act, and Sections 113.302-113.304, Natural 
Resources Code, as added by this Act, are an exercise of authority 
under Section 66(c), Article III, Texas Constitution, and take 
effect only if this Act receives a vote of three-fifths of all the 
members elected to each house, as provided by Subsection (e) of that 
section.
	SECTION 5.  This Act takes effect immediately if it receives 
a vote of two-thirds of all the members elected to each house, as 
provided by Section 39, Article III, Texas Constitution.  If this 
Act does not receive the vote necessary for immediate effect, this 
Act takes effect September 1, 2005.