89th Legislature

HB 2966

Overall Vote Recommendation
Yes
Principle Criteria
Free Enterprise
Property Rights
Personal Responsibility
Limited Government
Individual Liberty
Digest

HB 2966 proposes a narrow but meaningful amendment to Section 27.009(a) of the Texas Civil Practice and Remedies Code, which governs the award of attorney’s fees and court costs under the Texas Citizens Participation Act (TCPA), the state’s anti-SLAPP statute. The TCPA provides a mechanism to quickly dismiss lawsuits that are filed primarily to chill the exercise of constitutionally protected rights, such as free speech or the right to petition the government.

The bill revises the statutory language to clarify that when a court dismisses a legal action under the TCPA, it “shall award to the moving party court costs and reasonable attorney’s fees for defending against the legal action.” Specifically, HB 2966 removes the phrase “incurred in” from the current law, which previously read “fees incurred in defending against the legal action.” This change simplifies the statutory text without altering its substantive effect: it preserves the mandatory nature of fee-shifting in favor of the successful moving party. The bill also retains the court’s discretionary authority to award additional sanctions deemed necessary to deter future SLAPP filings.

HB 2966 applies only to legal actions filed on or after its effective date. It does not affect any actions filed prior to that date, which will continue to be governed by the existing version of the law. The bill’s revision is primarily technical and clarifying in nature, but affirms the Texas Legislature’s commitment to protecting citizens from frivolous and abusive litigation intended to suppress public participation.

Author
Morgan Meyer
Fiscal Notes

According to the Legislative Budget Board (LBB), HB 2966 is not expected to have any significant fiscal impact on the state of Texas. The proposed change, modifying the statutory language related to the awarding of attorney’s fees under the Texas Citizens Participation Act (TCPA), is largely clarifying in nature and does not impose new substantive obligations or administrative burdens on state agencies or courts.

The Office of Court Administration, which oversees judicial operations in Texas, anticipates that any additional costs resulting from the bill’s implementation can be absorbed within existing resources. This implies that courts will not require new appropriations, staff, or systems to comply with the revised statute. Since the bill does not expand or limit access to the TCPA dismissal process or introduce new procedural requirements, its fiscal footprint is expected to remain minimal.

Similarly, there are no significant fiscal implications anticipated for units of local government. Local courts and entities are not expected to incur meaningful costs or resource strains in implementing the clarified language concerning fee awards. Overall, HB 2966 is regarded as a fiscally neutral bill with no measurable budgetary effect on state or local entities.

Vote Recommendation Notes

HB 2966 proposes a minor but meaningful clarification to the Texas Citizens Participation Act (TCPA), which provides for the early dismissal of meritless lawsuits filed to chill the exercise of constitutionally protected rights, such as free speech and the right to petition. The bill amends the statute to ensure that a court’s mandatory award of attorney’s fees to the prevailing party is not limited by the phrase “incurred in” defending the action, but instead broadly covers “reasonable attorney’s fees” for defending the action. This change addresses concerns raised by legal advocates about situations in which parties seek legal counsel through pro bono services or flat-fee arrangements and are denied fee recovery due to the narrow statutory language.

Importantly, HB 2966 does not grow the size or scope of government. It does not establish new agencies, programs, or enforcement mechanisms. The bill operates strictly within the framework of existing court procedures and merely clarifies the scope of a cost-shifting provision already in law. It maintains the judiciary’s current administrative structure and does not increase judicial discretion or regulatory oversight. Furthermore, the Legislative Budget Board has determined that the bill has no significant fiscal implications for the state or local governments, and any minimal administrative costs can be absorbed using existing resources.

HB 2966 also does not impose new obligations, restrictions, or compliance burdens on individuals or businesses. Rather, it reinforces protections for defendants, often individuals or small organizations, who are subjected to frivolous lawsuits and rely on alternative fee arrangements to defend their rights. By ensuring that courts can award reasonable attorney’s fees regardless of how legal representation is structured, the bill removes a potential barrier to access to justice while preserving the law’s deterrent effect against abusive litigation.

In sum, HB 2966 is fiscally neutral, regulatory-light, and constitutionally protective. It enhances the equitable function of the TCPA without expanding governmental power or burdening taxpayers. Therefore, Texas Policy Research recommends that lawmakers vote YES on HB 2966.

  • Individual Liberty: The bill enhances individual liberty by strengthening protections for Texans exercising their constitutional rights to free speech, free press, and petition. The Texas Citizens Participation Act (TCPA) exists to prevent powerful interests from using strategic lawsuits against public participation (SLAPPs) to silence critics. This bill reinforces those protections by ensuring that parties who successfully defend against SLAPPs are entitled to recover attorney’s fees regardless of whether they paid for their legal representation out-of-pocket (e.g., pro bono or flat-fee arrangements). This reduces the chilling effect that costly litigation can have on political expression and civic engagement.
  • Personal Responsibility: The bill promotes personal responsibility by maintaining the court’s authority to impose sanctions against those who bring meritless, retaliatory lawsuits designed to intimidate or burden others for exercising constitutional rights. It reinforces the idea that litigants must be held accountable for abusing the judicial system for anti-democratic purposes. This ensures that individuals and entities are responsible for the legal consequences of engaging in SLAPP tactics.
  • Free Enterprise: The bill indirectly supports free enterprise by deterring abusive litigation practices that can be used by larger businesses or powerful entities to suppress dissent from smaller competitors, whistleblowers, journalists, or the public. By making the fee-recovery mechanism more equitable, the bill reduces the risk and cost of defending constitutionally protected speech, especially for small businesses, nonprofits, or sole proprietors who might otherwise be financially overwhelmed by a SLAPP suit.
  • Private Property Rights: While the bill does not directly address or alter laws governing private property rights, it may tangentially support them by protecting public discourse related to land use, zoning, environmental concerns, and other property-related matters. Individuals and organizations who speak out on such issues are often the targets of SLAPPs, and this bill helps preserve their right to participate in public processes without fear of retaliatory litigation.
  • Limited Government: The bill adheres to the principle of limited government by not expanding state authority, regulation, or spending. It simply clarifies an existing statutory right and ensures consistent application of the TCPA’s attorney’s fee provisions. It does not create new government programs, regulations, or enforcement mechanisms. The Legislative Budget Board has confirmed that the bill will have no significant fiscal impact, meaning it neither grows the government nor increases taxpayer obligations.
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