By:  Ellis                                                        S.B. No. 1221


A BILL TO BE ENTITLED

AN ACT

relating to the delivery of blank check forms; providing a civil 
penalty.   
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter D, Chapter 35, Business & Commerce 
Code, is amended by adding Section 35.395 to read as follows:
	Sec. 35.395.  DELIVERY OF CHECK FORM.  (a)  In this section:            
		(1)  "Addressee" means a person to whom a check form is 
sent.
		(2)  "Check form" means a device for the transmission 
or payment of money that:
			(A)  is not a negotiable instrument under Section 
3.104;            
			(B)  if completed would be a check as that term is 
described by Section 3.104; and
			(C)  is printed with information relating to the 
financial institution on which the completed check may be drawn.
		(3)  "Courier" means a business, other than the United 
States Postal Service, that delivers parcels for a fee.
	(b)  If an addressee selects a courier for delivery of a 
check form, the signature of the addressee or the addressee's 
representative must be obtained on delivery, unless the addressee 
specifically notifies the person who prints the check form, or the 
person's agent, that the signature of the addressee or the 
addressee's representative is not required for delivery.  The 
notification may be made in writing on the check form order, by 
electronic selection if the check forms are ordered using the 
Internet, by electronic mail to an address provided to the 
addressee by the person who prints the check form or the person's 
agent, by recorded oral notice, or by another method reasonably 
calculated to effectively communicate the addressee's intent.
	(c)  A person who prints a check form shall notify the 
courier of the check form if the signature of the addressee or the 
addressee's representative is required for delivery under 
Subsection (b).
	(d)  A person who violates Subsection (b) or (c) is subject 
to a civil penalty of $1,000 for each violation.
	(e)  A courier who is notified under Subsection (c) that a 
signature is required for delivery may not deliver the check form 
before obtaining the signature of the addressee or a representative 
of the addressee.  A courier who violates this subsection is subject 
to a civil penalty of $1,000 for each violation.
	(f)  The attorney general may bring suit to recover a civil 
penalty imposed under this section.  The attorney general may 
recover reasonable expenses incurred in obtaining a civil penalty 
under this subsection, including court costs, reasonable 
attorney's fees, investigative costs, witness fees, and deposition 
expenses.
	SECTION 2.  This Act takes effect January 1, 2006.