CIVIL PRACTICE & REMEDIES CODE
CHAPTER 84. CHARITABLE IMMUNITY AND LIABILITY
§ 84.001. NAME OF ACT. This Act may be cited as the
Charitable Immunity and Liability Act of 1987.
Added by Acts 1987, 70th Leg., ch. 370, § 1, eff. Sept. 1, 1987.
§ 84.002. FINDINGS AND PURPOSES. The Legislature of the
State of Texas finds that:
(1) robust, active, bona fide, and well-supported
charitable organizations are needed within Texas to perform
essential and needed services;
(2) the willingness of volunteers to offer their
services to these organizations is deterred by the perception of
personal liability arising out of the services rendered to these
organizations;
(3) because of these concerns over personal liability,
volunteers are withdrawing from services in all capacities;
(4) these same organizations have a further problem in
obtaining and affording liability insurance for the organization
and its employees and volunteers;
(5) these problems combine to diminish the services
being provided to Texas and local communities because of higher
costs and fewer programs;
(6) the citizens of this state have an overriding
interest in the continued and increased delivery of these services
that must be balanced with other policy considerations; and
(7) because of the above conditions and policy
considerations, it is the purpose of this Act to reduce the
liability exposure and insurance costs of these organizations and
their employees and volunteers in order to encourage volunteer
services and maximize the resources devoted to delivering these
services.
Added by Acts 1987, 70th Leg., ch. 370, § 1, eff. Sept. 1, 1987.
§ 84.003. DEFINITIONS. In this chapter:
(1) 'Charitable organization' means:
(A) any organization exempt from federal income
tax under Section 501(a) of the Internal Revenue Code of 1986 by
being listed as an exempt organization in Section 501(c)(3) or
501(c)(4) of the code, if it is a nonprofit corporation,
foundation, community chest, or fund organized and operated
exclusively for charitable, religious, prevention of cruelty to
children or animals, youth sports and youth recreational,
neighborhood crime prevention or patrol, fire protection or
prevention, emergency medical or hazardous material response
services, or educational purposes, including private primary or
secondary schools if accredited by a member association of the
Texas Private School Accreditation Commission but excluding
fraternities, sororities, and secret societies, or is organized and
operated exclusively for the promotion of social welfare by being
primarily engaged in promoting the common good and general welfare
of the people in a community;
(B) any bona fide charitable, religious,
prevention of cruelty to children or animals, youth sports and
youth recreational, neighborhood crime prevention or patrol, or
educational organization, excluding fraternities, sororities, and
secret societies, or other organization organized and operated
exclusively for the promotion of social welfare by being primarily
engaged in promoting the common good and general welfare of the
people in a community, and that:
(i) is organized and operated exclusively
for one or more of the above purposes;
(ii) does not engage in activities which in
themselves are not in furtherance of the purpose or purposes;
(iii) does not directly or indirectly
participate or intervene in any political campaign on behalf of or
in opposition to any candidate for public office;
(iv) dedicates its assets to achieving the
stated purpose or purposes of the organization;
(v) does not allow any part of its net
assets on dissolution of the organization to inure to the benefit of
any group, shareholder, or individual; and
(vi) normally receives more than one-third
of its support in any year from private or public gifts, grants,
contributions, or membership fees;
(C) a homeowners association as defined by
Section 528(c) of the Internal Revenue Code of 1986 or which is
exempt from federal income tax under Section 501(a) of the Internal
Revenue Code of 1986 by being listed as an exempt organization in
Section 501(c)(4) of the code;
(D) a volunteer center, as that term is defined
by Section 411.126, Government Code; or
(E) a local chamber of commerce that:
(i) is exempt from federal income tax under
Section 501(a) of the Internal Revenue Code of 1986 by being listed
as an exempt organization in Section 501(c)(6) of the code;
(ii) does not directly or indirectly
participate or intervene in any political campaign on behalf of or
in opposition to any candidate for public office; and
(iii) does not directly or indirectly
contribute to a political action committee that makes expenditures
to any candidates for public office.
(2) 'Volunteer' means a person rendering services for
or on behalf of a charitable organization who does not receive
compensation in excess of reimbursement for expenses incurred. The
term includes a person serving as a director, officer, trustee, or
direct service volunteer, including a volunteer health care
provider.
(3) 'Employee' means any person, including an officer
or director, who is in the paid service of a charitable
organization, but does not include an independent contractor.
(4) Repealed by Acts 2003, 78th Leg., ch. 204, §
18.03(1).
Text of subsec. (5) effective until February 1, 2004
(5) 'Volunteer health care provider' means an
individual who voluntarily provides health care services without
compensation or expectation of compensation and who is:
(A) an individual who is licensed to practice
medicine under Subtitle B, Title 3, Occupations Code;
(B) a retired physician who is eligible to
provide health care services, including a retired physician who is
licensed but exempt from paying the required annual registration
fee under Section 156.002, Occupations Code;
(C) a physician assistant licensed under Chapter
204, Occupations Code, or a retired physician assistant who is
eligible to provide health care services under the law of this
state;
(D) a registered nurse, including an advanced
nurse practitioner, licensed under Chapter 301, Occupations Code,
or a retired registered nurse, including a retired advanced nurse
practitioner, who is eligible to provide health care services under
the law of this state;
(E) a licensed vocational nurse licensed under
Chapter 302, Occupations Code, or a retired licensed vocational
nurse who is eligible to provide health care services under the law
of this state;
(F) a pharmacist licensed under Subtitle J, Title
3, Occupations Code, or a retired pharmacist who is eligible to
provide health care services under the law of this state;
(G) a podiatrist licensed under Chapter 202,
Occupations Code, or a retired podiatrist who is eligible to
provide health care services under the law of this state;
(H) a dentist licensed under Subtitle D, Title 3,
Occupations Code, or a retired dentist who is eligible to provide
health care services under the law of this state;
(I) a dental hygienist licensed under Subtitle D,
Title 3, Occupations Code, or a retired dental hygienist who is
eligible to provide health care services under the law of this
state; or
(J) an optometrist or therapeutic optometrist
licensed under Chapter 351, Occupations Code, or a retired
optometrist or therapeutic optometrist who is eligible to provide
health care services under the law of this state.
Text of subsec. (5) effective February 1, 2004
(5) 'Volunteer health care provider' means an
individual who voluntarily provides health care services without
compensation or expectation of compensation and who is:
(A) an individual who is licensed to practice
medicine under Subtitle B, Title 3, Occupations Code;
(B) a retired physician who is eligible to
provide health care services, including a retired physician who is
licensed but exempt from paying the required annual registration
fee under Section 156.002, Occupations Code;
(C) a physician assistant licensed under Chapter
204, Occupations Code, or a retired physician assistant who is
eligible to provide health care services under the law of this
state;
(D) a registered nurse, including an advanced
nurse practitioner, or vocational nurse, licensed under Chapter
301, Occupations Code, or a retired vocational nurse or registered
nurse, including a retired advanced nurse practitioner, who is
eligible to provide health care services under the law of this
state;
(E) a pharmacist licensed under Subtitle J, Title
3, Occupations Code, or a retired pharmacist who is eligible to
provide health care services under the law of this state;
(F) a podiatrist licensed under Chapter 202,
Occupations Code, or a retired podiatrist who is eligible to
provide health care services under the law of this state;
(G) a dentist licensed under Subtitle D, Title 3,
Occupations Code, or a retired dentist who is eligible to provide
health care services under the law of this state;
(H) a dental hygienist licensed under Subtitle D,
Title 3, Occupations Code, or a retired dental hygienist who is
eligible to provide health care services under the law of this
state; or
(I) an optometrist or therapeutic
optometrist licensed under Chapter 351, Occupations Code, or a
retired optometrist or therapeutic optometrist who is eligible to
provide health care services under the law of this state.
(6) 'Hospital system' means a system of hospitals and
other health care providers located in this state that are under the
common governance or control of a corporate parent.
(7) 'Person responsible for the patient' means:
(A) the patient's parent, managing conservator,
or guardian;
(B) the patient's grandparent;
(C) the patient's adult brother or sister;
(D) another adult who has actual care, control,
and possession of the patient and has written authorization to
consent for the patient from the parent, managing conservator, or
guardian of the patient;
(E) an educational institution in which the
patient is enrolled that has written authorization to consent for
the patient from the parent, managing conservator, or guardian of
the patient; or
(F) any other person with legal responsibility
for the care of the patient.
Added by Acts 1987, 70th Leg., ch. 370, § 1, eff. Sept. 1, 1987.
Amended by Acts 1989, 71st Leg., ch. 634, § 1, eff. Sept. 1,
1989; Acts 1997, 75th Leg., ch. 403, § 1, eff. Sept. 1, 1997;
Acts 1999, 76th Leg., ch. 400, § 1, eff. Sept. 1, 1999; Acts
2001, 77th Leg., ch. 77, § 1, eff. May 14, 2001; Acts 2001, 77th
Leg., ch. 538, § 1, eff. Sept. 1, 2001; Acts 2001, 77th Leg., ch.
1420, § 14.732, eff. Sept. 1, 2001; Acts 2003, 78th Leg., ch.
93, § 1, eff. Sept. 1, 2003; Acts 2003, 78th Leg., ch. 204, §
10.02, 10.03, 10.04, 18.03(1) eff. Sept. 1, 2003; Acts 2003, 78th
Leg., ch. 553, § 2.001, eff. Feb. 1, 2004; Acts 2003, 78th Leg.,
ch. 895, § 1, eff. Sept. 1, 2003.
§ 84.004. VOLUNTEER LIABILITY. (a) Except as provided
by Subsection (d) and Section 84.007, a volunteer of a charitable
organization is immune from civil liability for any act or omission
resulting in death, damage, or injury if the volunteer was acting in
the course and scope of the volunteer's duties or functions,
including as an officer, director, or trustee within the
organization.
(b) Repealed by Acts 2003, 78th Leg., ch. 204, §
18.03(2).
(c) Except as provided by Subsection (d) and Section 84.007,
a volunteer health care provider who is serving as a direct service
volunteer of a charitable organization is immune from civil
liability for any act or omission resulting in death, damage, or
injury to a patient if:
(1) the volunteer commits the act or omission in the
course of providing health care services to the patient;
(2) the services provided are within the scope of the
license of the volunteer; and
(3) before the volunteer provides health care
services, the patient or, if the patient is a minor or is otherwise
legally incompetent, the person responsible for the patient signs a
written statement that acknowledges:
(A) that the volunteer is providing care that is
not administered for or in expectation of compensation; and
(B) the limitations on the recovery of damages
from the volunteer in exchange for receiving the health care
services.
(d) A volunteer of a charitable organization is liable to a
person for death, damage, or injury to the person or his property
proximately caused by any act or omission arising from the
operation or use of any motor-driven equipment, including an
airplane, to the extent insurance coverage is required by Chapter
601, Transportation Code, and to the extent of any existing
insurance coverage applicable to the act or omission.
(e) The provisions of this section apply only to the
liability of volunteers and do not apply to the liability of the
organization for acts or omissions of volunteers.
(f) Subsection (c) applies even if:
(1) the patient is incapacitated due to illness or
injury and cannot sign the acknowledgment statement required by
that subsection; or
(2) the patient is a minor or is otherwise legally
incompetent and the person responsible for the patient is not
reasonably available to sign the acknowledgment statement required
by that subsection.
Added by Acts 1987, 70th Leg., ch. 370, § 1, eff. Sept. 1, 1987.
Amended by Acts 1997, 75th Leg., ch. 165, § 30.179, eff. Sept. 1,
1997; Acts 1999, 76th Leg., ch. 400, § 2, eff. Sept. 1, 1999;
Acts 2003, 78th Leg., ch. 204, § 10.05, 18.01, 18.03(2), eff.
Sept. 1, 2003.
§ 84.005. EMPLOYEE LIABILITY. Except as provided in
Section 84.007 of this Act, in any civil action brought against an
employee of a nonhospital charitable organization for damages based
on an act or omission by the person in the course and scope of the
person's employment, the liability of the employee is limited to
money damages in a maximum amount of $500,000 for each person and
$1,000,000 for each single occurrence of bodily injury or death and
$100,000 for each single occurrence for injury to or destruction of
property.
Added by Acts 1987, 70th Leg., ch. 370, § 1, eff. Sept. 1, 1987.
§ 84.006. ORGANIZATION LIABILITY. Except as provided
in Section 84.007 of this Act, in any civil action brought against a
nonhospital charitable organization for damages based on an act or
omission by the organization or its employees or volunteers, the
liability of the organization is limited to money damages in a
maximum amount of $500,000 for each person and $1,000,000 for each
single occurrence of bodily injury or death and $100,000 for each
single occurrence for injury to or destruction of property.
Added by Acts 1987, 70th Leg., ch. 370, § 1, eff. Sept. 1, 1987.
§ 84.0061. ORGANIZATIONAL LIABILITY FOR TRANSPORTATION
SERVICES PROVIDED TO CERTAIN WELFARE RECIPIENTS. (a) In this
section, 'religious charitable organization' means a charitable
organization that is also a 'religious organization' as the term is
defined by Section 464.051, Health and Safety Code.
(b) Subject to Subsection (e), a religious charitable
organization that owns or leases a motor vehicle is not liable for
damages arising from the negligent use of the vehicle by a person to
whom the organization has entrusted the vehicle to provide
transportation services during the provision of those services
described by Subsection (c) to a person who:
(1) is a recipient of:
(A) financial assistance under Chapter 31, Human
Resources Code; or
(B) nutritional assistance under Chapter 33,
Human Resources Code; and
(2) is participating in or applying to participate in:
(A) a work or employment activity under Chapter
31, Human Resources Code; or
(B) the food stamp employment and training
program.
(c) Transportation services include transportation to and
from the location of the:
(1) work, employment, or any training activity or
program; or
(2) provider of any child-care services necessary for
a person described by Subsection (b)(1) to participate in the work,
employment, or training activity or program.
(d) Except as expressly provided in Subsection (b), this
section does not limit, or in any way affect or diminish, other
legal duties or causes of action arising from the use of a motor
vehicle, including the condition of the vehicle itself and causes
of action arising under Chapter 41.
(e) This section does not apply to any claim arising from
injury, death, or property damage in which the operator of the
vehicle was intoxicated, as the term is defined in Section 49.01,
Penal Code.
Added by Acts 2001, 77th Leg., ch. 991, § 1, eff. June 15, 2001.
§ 84.0065. ORGANIZATION LIABILITY OF
HOSPITALS. (a) Except as provided by Section 84.007, in any civil
action brought against a hospital or hospital system, or its
employees, officers, directors, or volunteers, for damages based on
an act or omission by the hospital or hospital system, or its
employees, officers, directors, or volunteers, the liability of the
hospital or hospital system is limited to money damages in a maximum
amount of $500,000 for any act or omission resulting in death,
damage, or injury to a patient if the patient or, if the patient is a
minor or is otherwise legally incompetent, the person responsible
for the patient signs a written statement that acknowledges:
(1) that the hospital is providing care that is not
administered for or in expectation of compensation; and
(2) the limitations on the recovery of damages from
the hospital in exchange for receiving the health care services.
(b) Subsection (a) applies even if:
(1) the patient is incapacitated due to illness or
injury and cannot sign the acknowledgment statement required by
that subsection; or
(2) the patient is a minor or is otherwise legally
incompetent and the person responsible for the patient is not
reasonably available to sign the acknowledgment statement required
by that subsection.
Added by Acts 2003, 78th Leg., ch. 204, § 10.06, eff. Sept. 1,
2003.
§ 84.007. APPLICABILITY. (a) This chapter does not
apply to an act or omission that is intentional, wilfully
negligent, or done with conscious indifference or reckless
disregard for the safety of others.
(b) This chapter does not limit or modify the duties or
liabilities of a member of the board of directors or an officer to
the organization or its members and shareholders.
(c) This chapter does not limit the liability of an
organization or its employees or volunteers if the organization was
formed substantially to limit its liability under this chapter.
(d) This chapter does not apply to organizations formed to
dispose, remove, or store hazardous waste, industrial solid waste,
radioactive waste, municipal solid waste, garbage, or sludge as
those terms are defined under applicable state and federal law.
This subsection shall be liberally construed to effectuate its
purpose.
(e) Sections 84.005 and 84.006 of this chapter do not apply
to a health care provider as defined in the Medical Liability and
Insurance Improvement Act of Texas (Article 4590i, Vernon's Texas
Civil Statutes), unless the provider is a federally funded migrant
or community health center under the Public Health Service Act (42
U.S.C.A. Sections 254(b) and (c)) or is a nonprofit health
maintenance organization created and operated by a community center
under Section 534.101, Health and Safety Code, or unless the
provider usually provides discounted services at or below costs
based on the ability of the beneficiary to pay. Acceptance of
Medicare or Medicaid payments will not disqualify a health care
provider under this section. In no event shall Sections 84.005 and
84.006 of this chapter apply to a general hospital or special
hospital as defined in Chapter 241, Health and Safety Code, or a
facility or institution licensed under Subtitle C, Title 7, Health
and Safety Code, or Chapter 242, Health and Safety Code, or to any
health maintenance organization created and operating under
Chapter 843, Insurance Code, except for a nonprofit health
maintenance organization created under Section 534.101, Health and
Safety Code.
(f) This chapter does not apply to a governmental unit or
employee of a governmental unit as defined in the Texas Tort Claims
Act (Subchapter A, Chapter 101, Civil Practice and Remedies Code).
(g) Sections 84.005 and 84.006 of this Act do not apply to
any charitable organization that does not have liability insurance
coverage in effect on any act or omission to which this chapter
applies. The coverage shall apply to the acts or omissions of the
organization and its employees and volunteers and be in the amount
of at least $500,000 for each person and $1,000,000 for each single
occurrence for death or bodily injury and $100,000 for each single
occurrence for injury to or destruction of property. The coverage
may be provided under a contract of insurance or other plan of
insurance authorized by statute and may be satisfied by the
purchase of a $1,000,000 bodily injury and property damage combined
single limit policy. Nothing in this chapter shall limit liability
of any insurer or insurance plan in an action under Chapter 21,
Insurance Code, or in an action for bad faith conduct, breach of
fiduciary duty, or negligent failure to settle a claim.
(h) This chapter does not apply to:
(1) a statewide trade association that represents
local chambers of commerce; or
(2) a cosponsor of an event or activity with a local
chamber of commerce unless the cosponsor is a charitable
organization under this chapter.
Added by Acts 1987, 70th Leg., ch. 370, § 1, eff. Sept. 1, 1987.
Amended by Acts 1991, 72nd Leg., ch. 14, § 284(14), (20), eff.
Sept. 1, 1991; Acts 1991, 72nd Leg., ch. 76, § 6, eff. Sept. 1,
1991; Acts 1997, 75th Leg., ch. 835, § 3, eff. Sept. 1, 1997;
Acts 1997, 75th Leg., ch. 1297, § 1, eff. Sept. 1, 1997; Acts
2003, 78th Leg., ch. 93, § 2, eff. Sept. 1, 2003; Acts 2003, 78th
Leg., ch. 204, § 18.02, eff. Sept. 1, 2003; Acts 2003, 78th
Leg., ch. 1276, § 10A.507, eff. Sept. 1, 2003.
§ 84.008. SEVERABILITY. If any clause or provision of
this chapter or its application to any person or organization is
held unconstitutional, such invalidity does not affect other
clauses, provisions, or applications of this chapter that can be
given effect without the invalid clause or provision and shall not
affect or nullify the remainder of the Act or any other clause or
provision, but the effect shall be confined to the clause or
provision held to be invalid or unconstitutional and to this end the
Act is declared to be severable.
Added by Acts 1987, 70th Leg., ch. 370, § 1, eff. Sept. 1, 1987.
