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A BILL TO BE ENTITLED
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AN ACT
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relating to surcharges imposed for the use of a credit card. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 604A.0021, Business & Commerce Code, is |
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repealed. |
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SECTION 2. The heading to Chapter 604A, Business & Commerce |
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Code, is amended to read as follows: |
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CHAPTER 604A. PROHIBITION OR REGULATION OF CERTAIN SURCHARGES |
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SECTION 3. Section 604A.003, Business & Commerce Code, is |
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amended to read as follows: |
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Sec. 604A.003. CIVIL PENALTY. (a) A person who knowingly |
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violates Section 604A.002 [or 604A.0021] is liable to the state for |
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a civil penalty in an amount not to exceed $500 for each violation. |
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The attorney general or the prosecuting attorney in the county in |
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which the violation occurs may bring: |
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(1) a suit to recover the civil penalty imposed under |
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this section; and |
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(2) an action in the name of the state to restrain or |
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enjoin a person from violating this chapter. |
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(b) Before bringing the action, the attorney general or |
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prosecuting attorney shall give the person notice of the person's |
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noncompliance and liability for a civil penalty. The notice must: |
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(1) contain guidance to assist the person in complying |
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with this chapter; |
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(2) advise the person of the prohibitions under |
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Section [Sections] 604A.002 [and 604A.0021]; and |
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(3) state that the person may be liable for a civil |
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penalty for a subsequent violation of Section 604A.002 [or |
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604A.0021]. |
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(b-1) If the person complies with Section [Sections] |
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604A.002 [and 604A.0021] not later than the 30th day after the date |
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of the notice under Subsection (b), the violation is cured and the |
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person is not liable for the civil penalty. A person who has |
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previously received notice of noncompliance under Subsection (b) is |
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not entitled to notice of or the opportunity to cure a subsequent |
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violation of Section 604A.002 [or 604A.0021]. |
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(c) The attorney general or the prosecuting attorney, as |
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appropriate, is entitled to recover reasonable expenses incurred in |
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obtaining injunctive relief, civil penalties, or both, under this |
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section, including reasonable attorney's fees, court costs, and |
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investigatory costs. |
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SECTION 4. Chapter 604A, Business & Commerce Code, is |
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amended by adding Section 604A.004 to read as follows: |
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Sec. 604A.004. IMPOSITION OF SURCHARGE FOR USE OF CREDIT |
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CARD. (a) A merchant may impose a surcharge on a buyer who uses a |
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credit card for an extension of credit instead of cash, a check, or |
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a similar means of payment to pay for the purchase of goods or |
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services. The buyer is obligated to pay any surcharge imposed on |
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the credit extension transaction under this section. |
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(b) A merchant who imposes a surcharge under this section |
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must provide to a buyer who uses a credit card for an extension of |
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credit a disclosure stating: "The payment of a credit card |
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surcharge is the responsibility of the cardholder." |
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SECTION 5. This Act takes effect September 1, 2023. |