By:  West                                                         S.B. No. 542
	(In the Senate - Filed February 16, 2005; February 28, 2005,
read first time and referred to Committee on Business and Commerce; 
May 16, 2005, reported adversely, with favorable Committee 
Substitute by the following vote:  Yeas 7, Nays 0; May 16, 2005, 
sent to printer.)


COMMITTEE SUBSTITUTE FOR S.B. No. 542                                    By:  Lucio


A BILL TO BE ENTITLED

AN ACT


relating to the authority of the attorney general to bring suit on 
behalf of individuals injured by unlawful practices in restraint of 
trade.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter C, Chapter 15, Business & Commerce 
Code, is amended by adding Section 15.211 to read as follows:
	Sec. 15.211.  ATTORNEY GENERAL MAY BRING SUIT ON BEHALF OF 
INJURED PERSONS.  (a)  The attorney general may bring suit under 
Section 15.21(a) of this Act on behalf of a governmental entity and, 
as parens patriae, on behalf of an individual residing in this state 
for damages incurred directly or indirectly because of a violation 
of Subsection (a), (b), or (c) of Section 15.05 of this Act.
	(b)  In any suit brought by the attorney general as parens 
patriae under Subsection (a):
		(1)  the attorney general shall give the best 
practicable notice through any means necessary to give due process 
of law to the affected individuals, as required by the court;
		(2)  an individual on whose behalf the attorney general 
brings suit may elect to exclude from adjudication the portion of 
damages attributable to the individual by filing notice of the 
individual's election with the court not later than the date 
specified in the notice provided under Subdivision (1);
		(3)  the final judgment is res judicata for the matters 
alleged or proven in the suit as to any claim under this Act on 
behalf of an individual:
			(A)  on whose behalf the attorney general brought 
the action; and   
			(B)  who fails to comply with Subdivision (2); and                    
		(4)  the damages awarded shall be distributed to ensure 
that each individual has a reasonable opportunity to secure a fair 
share of the damages.
	(c)  If claims based on substantially the same conduct are 
asserted against a defendant by the attorney general on behalf of 
indirect purchasers and by direct purchasers, the court shall avoid 
imposing duplicate liability for the same injury.
	(d)  The right to sue under Subsection (a) applies only to 
the attorney general and does not create a right of another person, 
including another governmental entity, to sue on its own behalf for 
damages incurred indirectly because of a violation of Subsection 
(a), (b), or (c) of Section 15.05 of this Act.
	SECTION 2.  The change in law made by this Act applies only 
to a suit arising out of an injury that an individual suffers on or 
after the effective date of this Act.  A suit arising out of an 
injury suffered by an individual before the effective date of this 
Act is governed by the law in effect at the time the individual 
suffered the injury, and the former law is continued in effect for 
that purpose.
	SECTION 3.  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.



* * * * *