84R12074 SCL-D
 
  By: Hughes H.B. No. 3662
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to recovery of damages, attorney's fees, and costs related
  to frivolous regulatory actions by state agencies.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  The heading to Chapter 105, Civil Practice and
  Remedies Code, is amended to read as follows:
  CHAPTER 105. FRIVOLOUS CLAIM OR REGULATORY ACTION BY STATE AGENCY
         SECTION 2.  The heading to Section 105.002, Civil Practice
  and Remedies Code, is amended to read as follows:
         Sec. 105.002.  RECOVERY OF FEES, EXPENSES, AND ATTORNEY'S
  FEES FOR FRIVOLOUS CLAIM.
         SECTION 3.  Chapter 105, Civil Practice and Remedies Code,
  is amended by adding Sections 105.005 and 105.006 to read as
  follows:
         Sec. 105.005.  CAUSE OF ACTION FOR FRIVOLOUS REGULATORY
  ACTION. (a) A claimant may bring an action against a state agency
  if the state agency takes a regulatory action against the claimant
  that is frivolous, unreasonable, or without foundation.
         (b)  In an action brought under this section a claimant may
  recover, in addition to all other costs allowed by law or rule, the
  damages caused by the state agency's frivolous regulatory action,
  reasonable attorney's fees, and court costs.
         Sec. 105.006.  RECOVERY OF ATTORNEY'S FEES AND COSTS IN
  FRIVOLOUS REGULATORY ACTION. A person may recover, in addition to
  all other costs allowed by law or rule, reasonable attorney's fees
  and costs incurred in defending against a frivolous regulatory
  action during an administrative proceeding and judicial review of
  that proceeding if:
               (1)  the person prevails in the judicial review of an
  administrative proceeding; and 
               (2)  the state agency is unable to demonstrate that the
  agency has good cause for the regulatory action.
         SECTION 4.  The change in law made by this Act applies only
  to a regulatory action taken on or after the effective date of this
  Act. A regulatory action taken before the effective date of this
  Act is governed by the law applicable to the regulatory action
  immediately before the effective date of this Act, and that law is
  continued in effect for that purpose.
         SECTION 5.  This Act takes effect September 1, 2015.