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A BILL TO BE ENTITLED
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AN ACT
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relating to a credit card company's liability for the fraudulent |
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use of unsolicited credit card checks sent by the company. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter D, Chapter 35, Business & Commerce |
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Code, is amended by adding Section 35.396 to read as follows: |
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Sec. 35.396. LIABILITY FOR FRAUDULENT USE OF UNSOLICITED |
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CREDIT CARD CHECK. (a) In this section, "credit card check" means |
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a device in the form of a check that, if completed, could be used to |
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make a charge to a credit card account. |
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(b) A credit card company that provides a credit card check |
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to a credit card holder is liable for any financial loss incurred by |
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the holder that results from the fraudulent use of that credit card |
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check, if the holder: |
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(1) did not request the provision of the credit card |
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check; and |
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(2) filed a criminal complaint regarding the |
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fraudulent use of the credit card check, alleging an offense under |
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Section 32.51, Penal Code, or other law. |
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SECTION 2. Section 35.396, Business & Commerce Code, as |
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added by this Act, applies only to a credit card check provided to a |
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credit card holder on or after September 1, 2007. |
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SECTION 3. This Act takes effect September 1, 2007. |