Bill

HB 2394

84(R) - 2015
House Investments & Financial Services
House Investments & Financial Services
Investment & Financial Services

Vote Recommendation

Yes
  • Neutral
  • Neutral
  • Neutral
  • Positive
  • Neutral

Author(s)

Drew Darby

Bill Caption

Relating to the compelled production of certain customer records by a financial institution.

Fiscal Notes

A fiscal note dated March 23, 2015 anticipates no fiscal implication to the State or units of local government.

Bill Analysis

House Bill 2394 would prevent a court from either forcing a financial institution to produce a record, or to find the financial institution to be in contempt of court for failing to produce a record, if the requesting party has not paid the costs of producing the record, or posted a cost bond, as requested by Section 59.006 (b) (2) of the Finance Code.

Vote Recommendation Notes

5/08/15 Update:

This bill is the same as when we reported on it in its original chamber. We continue to support it.

First chamber analysis below:

Under current law (Section 59.006 (b) (2) of the Finance Code), one of the conditions under which a financial institution must produce a record following a record request is that the requesting party pay the reasonable costs, to the financial institution, of producing the record, or posts a cost bond to cover these costs.

House Bill 2394 seeks to make sure that in cases in which a requesting party would fail to pay the estimated cost of producing a record, a court could not force a financial institution to produce the record regardless of whether the requesting party has paid the cost of producing the record, or find the financial institution to be in contempt of the court for failing to produce the record.

This bill would only ensure that current law is respected, that in no way a requesting party could fail to comply with the law and the financial institution be left to bear the cost of producing a requested record. We support House Bill 2394.

Organizations Supporting

Independent Bankers Association of Texas