HBA-ATS H.B. 2168 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2168
By: Naishtat
Business & Industry
3/23/1999
Introduced



BACKGROUND AND PURPOSE 

Currently, Texas law requires every foreign or domestic business entity
that transacts business in the state to appoint a registered agent to
accept service of process.  On occasion, some businesses list as their
agents persons who are unaware that they have been so appointed.  Through
no fault of their own, they may be held liable for failing to carry out
their responsibilities as agents.  H.B. 2168 provides that the appointment
of a registered agent to accept service of process for an entity authorized
to transact business in this state is ineffective until the agent signs the
document evidencing the appointment or files with the secretary of state a
written statement accepting the appointment. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 30, Civil Practice and Remedies Code, by adding
Section 30.011, as follows: 

Sec. 30.011.  APPOINTMENT OF REGISTERED AGENT OF BUSINESS ENTITY. Provides
that the appointment of a registered agent to accept service of process for
an entity authorized to transact business in this state is ineffective
until the agent signs the document evidencing the appointment or files with
the secretary of state a written statement accepting the appointment. 

SECTION 2.Effective date: September 1, 1999.
  Makes application of this Act prospective.

SECTION 3.  Emergency clause.