| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the treatment of a landman as an independent |
|
|
contractor. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 201.077, Labor Code, is amended to read |
|
|
as follows: |
|
|
Sec. 201.077. SERVICE BY LANDMAN. (a) In this subtitle, |
|
|
"employment" does not include service performed for a private |
|
|
for-profit person by an individual as a landman if: |
|
|
(1) the individual is engaged primarily in negotiating |
|
|
for the acquisition or divestiture of mineral rights or negotiating |
|
|
business agreements that provide for the exploration for or |
|
|
development of minerals; |
|
|
(2) substantially all remuneration, paid in cash or |
|
|
otherwise, for the performance of the service is directly related |
|
|
to the completion by the individual of the specific, contracted-for |
|
|
tasks, rather than to the number of hours worked by the individual; |
|
|
and |
|
|
(3) the service performed by the individual is |
|
|
performed under a written contract between the individual and the |
|
|
person for whom the service is performed that provides that the |
|
|
individual is to be treated as an independent contractor and not as |
|
|
an employee with respect to the service provided under the |
|
|
contract. |
|
|
(b) A contract for a service described by Subsection (a)(1) |
|
|
to be performed by an individual as a landman does not constitute |
|
|
employment for purposes of this subtitle, and the landman shall be |
|
|
considered an independent contractor, if: |
|
|
(1) the contract specifically states that: |
|
|
(A) the landman is working as an independent |
|
|
contractor; and |
|
|
(B) the landman's employer does not determine the |
|
|
means or methods of the work being performed; and |
|
|
(2) the landman's compensation for the contracted |
|
|
service is directly related only to the performance of the service. |
|
|
SECTION 2. Section 151.0048, Tax Code, is amended by adding |
|
|
Subsection (b-2) to read as follows: |
|
|
(b-2) "Real property service" does not include a service |
|
|
listed under Subsection (a) if the service is performed by a |
|
|
landman: |
|
|
(1) whose contract specifically states that: |
|
|
(A) the landman is working as an independent |
|
|
contractor; and |
|
|
(B) the landman's employer does not determine the |
|
|
means or methods of the work being performed; and |
|
|
(2) whose compensation for the contracted service is |
|
|
directly related only to the performance of the service. |
|
|
SECTION 3. The amendments made by this Act are a |
|
|
clarification of existing law and do not imply that existing law may |
|
|
be construed as inconsistent with the law as amended by this Act. |
|
|
SECTION 4. 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, 2015. |