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A BILL TO BE ENTITLED
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AN ACT
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relating to the authority of the attorney general to bring suit on |
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behalf of individuals injured by unlawful practices in restraint of |
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trade. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter C, Chapter 15, Business & Commerce |
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Code, is amended by adding Section 15.211 to read as follows: |
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Sec. 15.211. ATTORNEY GENERAL MAY BRING SUIT ON BEHALF OF |
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INJURED PERSONS. (a) The attorney general may bring suit under |
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Section 15.21(a) on behalf of a governmental entity and, as parens |
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patriae, on behalf of an individual residing in this state for |
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damages incurred directly or indirectly because of a violation of |
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Section 15.05(a), (b), or (c). |
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(b) In any suit brought by the attorney general as parens |
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patriae under Subsection (a): |
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(1) the attorney general shall give the best |
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practicable notice through any means necessary to give due process |
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of law to the affected individuals, as required by the court, and |
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shall include in the notice the date by which the individual must |
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elect to be excluded from the suit under Subdivision (2); |
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(2) an individual on whose behalf the attorney general |
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brings suit may elect to be excluded from the suit by filing, not |
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later than the date specified in the notice provided under |
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Subdivision (1): |
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(A) notice of the individual's election with the |
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court; or |
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(B) a separate action in a district court in |
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Travis County or a district court in the county in which the |
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attorney general's suit is pending; |
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(3) the final judgment is res judicata for the matters |
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alleged or proven in the suit as to any claim under this Act on |
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behalf of an individual: |
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(A) on whose behalf the attorney general brought |
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the action; and |
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(B) who fails to comply with Subdivision (2); and |
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(4) the damages awarded shall be distributed to ensure |
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that each individual has a reasonable opportunity to secure a fair |
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share of the damages. |
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(c) If claims based on substantially the same conduct are |
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asserted against a defendant by the attorney general on behalf of |
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indirect purchasers and by direct purchasers, the court shall avoid |
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imposing duplicate damages for the same injury. |
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(d) The right to sue under Subsection (a) applies only to |
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the attorney general and does not create or abolish a right of |
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another person, including another governmental entity, to sue on |
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its own behalf for damages incurred indirectly because of a |
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violation of Section 15.05(a), (b), or (c). |
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SECTION 2. The change in law made by this Act applies only |
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to a suit arising out of an injury that an individual suffers on or |
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after the effective date of this Act. A suit arising out of an |
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injury suffered by an individual before the effective date of this |
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Act is governed by the law in effect at the time the individual |
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suffered the injury, and the former law is continued in effect for |
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that purpose. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2007. |