85R3522 DDT-F
 
  By: Giddings H.B. No. 975
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the threat or pursuit of criminal charges against a
  consumer in association with certain extensions of consumer credit;
  providing a civil penalty.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 393, Finance Code, is amended by adding
  Subchapter E-1 to read as follows:
  SUBCHAPTER E-1.  CRIMINAL CHARGES AGAINST CONSUMER
         Sec. 393.421.  CRIMINAL CHARGE AGAINST CONSUMER. (a)  A
  credit services organization or a representative of a credit
  services organization may not, unless the credit services
  organization or representative of the credit services organization
  has extrinsic evidence sufficient to prove that the consumer has
  committed an offense under Section 31.03, 31.04, or 32.41, Penal
  Code:
               (1)  file a criminal complaint or threaten to file a
  criminal complaint related to an extension of consumer credit
  against the consumer for an offense under Section 31.03, 31.04, or
  32.41, Penal Code; or
               (2)  refer or threaten to refer a consumer to a
  prosecutor under Article 102.007, Code of Criminal Procedure, for
  the collection and processing of a check or similar sight order that
  was issued in relation to an extension of consumer credit.
         (b)  Notwithstanding the presumptions provided by Sections
  31.06(a) and 32.41(b), Penal Code, evidence of a denied or returned
  payment due to insufficient funds or account closure is not
  extrinsic evidence of an offense under Section 31.03, 31.04, or
  32.41, Penal Code.
         (c)  Extrinsic evidence of an offense under Section 31.03,
  31.04, or 32.41, Penal Code, includes evidence that the consumer
  was not an authorized user of the account on which the payment was
  drawn at the time the payment was provided.
         Sec. 393.422.  CIVIL REMEDIES. (a)  For a violation of this
  subchapter against a consumer, the consumer may bring an action to:
               (1)  obtain injunctive relief to restrain the violation
  or to correct any negative credit issues caused by the violation;
               (2)  void the contract for the debt or the debt
  services; or
               (3)  recover any actual damages sustained as a result
  of the violation.
         (b)  A consumer who successfully maintains an action under
  Subsection (a) is entitled to reasonable attorney's fees and court
  costs.
         (c)  If the attorney general reasonably believes that a
  person is violating or is about to violate this subchapter, the
  attorney general may bring an action in the name of this state
  against the person to restrain or enjoin the person from violating
  this subchapter.
         (d)  A consumer who successfully maintains an action under
  this section for a violation of this subchapter is entitled to not
  less than $100 for each violation.
         SECTION 2.  This Act takes effect September 1, 2017.