Bill Text: TX SB735 | 2015-2016 | 84th Legislature | Enrolled
Bill Title: Relating to discovery of evidence of the net worth of a defendant in connection with a claim for exemplary damages.
Spectrum: Partisan Bill (Republican 3-0)
Status: (Passed) 2015-06-19 - Effective on 9/1/15 [SB735 Detail]
Download: Texas-2015-SB735-Enrolled.html
S.B. No. 735 |
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relating to discovery of evidence of the net worth of a defendant in | ||
connection with a claim for exemplary damages. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 41.001, Civil Practice and Remedies | ||
Code, is amended by adding Subdivision (7-a) to read as follows: | ||
(7-a) "Net worth" means the total assets of a person | ||
minus the total liabilities of the person on a date determined | ||
appropriate by the trial court. | ||
SECTION 2. Chapter 41, Civil Practice and Remedies Code, is | ||
amended by adding Section 41.0115 to read as follows: | ||
Sec. 41.0115. DISCOVERY OF EVIDENCE OF NET WORTH FOR | ||
EXEMPLARY DAMAGES CLAIM. (a) On the motion of a party and after | ||
notice and a hearing, a trial court may authorize discovery of | ||
evidence of a defendant's net worth if the court finds in a written | ||
order that the claimant has demonstrated a substantial likelihood | ||
of success on the merits of a claim for exemplary damages. Evidence | ||
submitted by a party to the court in support of or in opposition to a | ||
motion made under this subsection may be in the form of an affidavit | ||
or a response to discovery. | ||
(b) If a trial court authorizes discovery under Subsection | ||
(a), the court's order may only authorize use of the least | ||
burdensome method available to obtain the net worth evidence. | ||
(c) When reviewing an order authorizing or denying | ||
discovery of net worth evidence under this section, the reviewing | ||
court may consider only the evidence submitted by the parties to the | ||
trial court in support of or in opposition to the motion described | ||
by Subsection (a). | ||
(d) If a party requests net worth discovery under this | ||
section, the court shall presume that the requesting party has had | ||
adequate time for the discovery of facts relating to exemplary | ||
damages for purposes of allowing the party from whom net worth | ||
discovery is sought to move for summary judgment on the requesting | ||
party's claim for exemplary damages under Rule 166a(i), Texas Rules | ||
of Civil Procedure. | ||
SECTION 3. The change in law made by this Act applies only | ||
to an action filed on or after the effective date of this Act. | ||
SECTION 4. This Act takes effect September 1, 2015. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I hereby certify that S.B. No. 735 passed the Senate on | ||
April 28, 2015, by the following vote: Yeas 20, Nays 11; and that | ||
the Senate concurred in House amendment on May 28, 2015, by the | ||
following vote: Yeas 23, Nays 8. | ||
______________________________ | ||
Secretary of the Senate | ||
I hereby certify that S.B. No. 735 passed the House, with | ||
amendment, on May 22, 2015, by the following vote: Yeas 93, | ||
Nays 44, one present not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
Approved: | ||
______________________________ | ||
Date | ||
______________________________ | ||
Governor |