Texas HB 2375: Relating to the enforcement of certain arbitration agreements.

Bill Text

By:AAJ. Johnson of Dallas H.B.ANo.A2375
A BILL TO BE ENTITLED
AN ACT
relating to the enforcement of certain arbitration agreements.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTIONA1.AASubchapter B, Chapter 171, Civil Practice and
Remedies Code, is amended by adding Section 171.0221 to read as
follows:
Sec.A171.0221.AACERTAIN ARBITRATION AGREEMENTS
UNENFORCEABLE. (a) In this section:
(1)AA"Antitrust dispute" means a dispute involving a
claim for damages caused by a violation of an antitrust law in which
plaintiffs seek certification as a class.
(2)AA"Civil rights dispute" means a dispute regarding a
violation of the United States Constitution, the constitution of
this state, or a statute that prohibits discrimination on the basis
of race, sex, disability, religion, or national origin in which a
party alleging a violation is an individual.
(3)AA"Consumer dispute" means a dispute between an
individual who seeks or acquires real or personal property,
services, securities or other investments, money, or credit for
personal, family, or household purposes and a seller or provider of
the property, services, investments, money, or credit.
(4)AA"Employment dispute" means a dispute between an
employer and an employee.
(b)AAA court may not enforce an agreement to arbitrate a
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86R11057 BRG-D 1

dispute that had not yet arisen at the time the agreement was made
if the agreement would require arbitration of an employment
dispute, consumer dispute, antitrust dispute, or civil rights
dispute or would have the effect of waiving the right of an employee
to seek judicial enforcement of a right arising under federal or
state law.
(c)AAThis section does not apply to an agreement to arbitrate
between an employer and a labor union or between labor unions.
SECTIONA2.AAThis Act applies only to an agreement to
arbitrate entered into on or after the effective date of this Act.
SECTIONA3.AAThis Act takes effect September 1, 2019.
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H.B.ANo.A2375
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