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A BILL TO BE ENTITLED
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AN ACT
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relating to a waiver of sovereign or governmental immunity by |
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governmental entities that fail to make a timely payment under the |
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Prompt Payment Act. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter D, Chapter 2251, Government Code, is |
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amended by adding Section 2251.056 to read as follows: |
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Sec. 2251.056. WAIVER OF IMMUNITY. A governmental entity |
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that fails to make an invoice payment to a vendor in the time |
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prescribed by this chapter waives sovereign or governmental |
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immunity from suit by the vendor to collect the invoice payment, |
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interest and attorney's fees due under this chapter, or any other |
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amount due under this chapter. |
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SECTION 2. The change in law made by this Act applies only |
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to a cause of action that accrues on or after the effective date of |
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this Act. A cause of action that accrues before the effective date |
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of this Act is governed by the law in effect immediately before that |
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date, and that law is continued in effect for that purpose. |
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SECTION 3. This Act takes effect September 1, 2009. |