LABOR CODE
SUBTITLE C. WAGES
CHAPTER 61. PAYMENT OF WAGES
SUBCHAPTER A. GENERAL PROVISIONS
§ 61.001. DEFINITIONS. In this chapter:
(1) "Commission" means the Texas Employment
Commission or its designee.
(2) "Day" means a calendar day.
(3) "Employee" means an individual who is employed by
an employer for compensation. The term does not include:
(A) a person related to the employer or the
employer's spouse within the first or second degree by
consanguinity or affinity, as determined under Chapter 573,
Government Code; or
(B) an independent contractor.
(4) "Employer" means a person who:
(A) employs one or more employees; or
(B) acts directly or indirectly in the interests
of an employer in relation to an employee.
(5) "Employment" means any service, including service
in interstate commerce, that is performed for wages or under a
contract of hire, whether written or oral or express or implied.
The term does not include any service performed by an individual for
wages if it is shown that the individual is free from control or
direction in the performance of the service, both under any
contract of service and in fact.
(6) "Mail" means to deposit for mailing with the
United States Postal Service.
(7) "Wages" means compensation owed by an employer
for:
(A) labor or services rendered by an employee,
whether computed on a time, task, piece, commission, or other
basis; and
(B) vacation pay, holiday pay, sick leave pay,
parental leave pay, or severance pay owed to an employee under a
written agreement with the employer or under a written policy of the
employer.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993. Amended
by Acts 1995, 74th Leg., ch. 76, § 5.95(27), 9.12(a), eff. Sept.
1, 1995.
§ 61.002. COMMISSION DUTIES. (a) The commission
shall:
(1) administer this chapter; and
(2) adopt rules as necessary to implement this
chapter.
(b) The commission may require reports, conduct
investigations, and take other action as it considers necessary to
implement this chapter.
(c) In the discharge of the duties imposed by this chapter,
any authorized representative or member of the commission may:
(1) administer an oath or affirmation;
(2) take a deposition;
(3) certify to an official act; and
(4) issue a subpoena to compel the attendance of a
witness and the production of books, papers, correspondence,
memoranda, and other records considered necessary as evidence in
the administration of this chapter.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993. Amended
by Acts 1995, 74th Leg., ch. 76, § 9.13(a), eff. Sept. 1, 1995.
§ 61.003. GOVERNMENTAL ENTITIES EXCLUDED. This chapter
does not apply to the United States, this state, or a political
subdivision of this state.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.004. PAYMENT OF CERTAIN FEES FOR SERVICE OF
PROCESS. Notwithstanding Chapter 152 or 154, Local Government
Code, or any other law of this state, the fees assessed by a sheriff
or constable for service of a subpoena under Section 61.002 shall be
paid by the commission out of the administrative funds of the
commission, and the comptroller shall issue warrants for those fees
as directed by the commission.
Added by Acts 1995, 74th Leg., ch. 76, § 9.13(b), eff. Sept. 1,
1995.
§ 61.005. EFFECT OF REFUSAL TO OBEY COMMISSION SUBPOENA;
CRIMINAL PENALTY. (a) In the case of contumacy or other refusal
by a person to obey a subpoena issued by the commission or an
authorized representative of the commission to that person, any
county or district court of this state in the jurisdiction of which
the inquiry is carried on or in the jurisdiction of which the person
guilty of contumacy or refusal to obey is found, resides, or
transacts business has jurisdiction, on application by the
commission or its representative, to issue to the person an order
requiring the person to appear before the commission or its
authorized representative to:
(1) produce evidence if so ordered; or
(2) testify regarding the matter under investigation
or in question.
(b) The court may punish as contempt a failure to obey a
court order issued under Subsection (a).
(c) A person commits an offense if the person, without just
cause, fails or refuses to obey a commission subpoena to:
(1) attend and testify;
(2) answer any lawful inquiry; or
(3) produce books, papers, correspondence, memoranda,
or other records.
(d) An offense under Subsection (c) is punishable by a fine
of not less than $200, by confinement for not more than 60 days, or
by both fine and confinement. Each day of violation constitutes a
separate offense.
Added by Acts 1995, 74th Leg., ch. 76, § 9.13(b), eff. Sept. 1,
1995. Amended by Acts 2003, 78th Leg., ch. 817, § 10.11, eff.
Sept. 1, 2003.
SUBCHAPTER B. PAYMENT OF WAGES
§ 61.011. PAYDAYS. (a) An employer shall pay wages to
each employee who is exempt from the overtime pay provisions of the
Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et seq.) at
least once a month.
(b) An employer shall pay wages to an employee other than an
employee covered by Subsection (a) at least twice a month.
(c) If wages are paid twice a month, each pay period must
consist as nearly as possible of an equal number of days.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.012. DESIGNATION OF PAYDAYS; NOTICE. (a) An
employer shall designate paydays in accordance with Section 61.011.
(b) If an employer fails to designate paydays, the
employer's paydays are the first and 15th day of each month.
(c) An employer shall post, in conspicuous places in the
workplace, notices indicating the paydays.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.013. PAYMENT OTHER THAN ON PAYDAY. An employer
shall pay an employee who is not paid on a payday for any reason,
including the employee's absence on a payday, on another regular
business day on the employee's request.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.014. PAYMENT AFTER TERMINATION OF
EMPLOYMENT. (a) An employer shall pay in full an employee who is
discharged from employment not later than the sixth day after the
date the employee is discharged.
(b) An employer shall pay in full an employee who leaves
employment other than by discharge not later than the next
regularly scheduled payday.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.015. PAYMENT OF COMMISSIONS AND
BONUSES. (a) Wages paid on commission and bonuses are due
according to the terms of:
(1) an agreement between the employee and employer;
or
(2) an applicable collective bargaining agreement.
(b) An employer shall pay wages paid on commission and
bonuses to an employee in a timely manner as required for the
payment of other wages under this chapter.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.016. FORM OF PAYMENT. (a) An employer shall pay
wages to an employee:
(1) in United States currency;
(2) by a written instrument issued by the employer
that is negotiable on demand at full face value for United States
currency; or
(3) by the electronic transfer of funds.
(b) An employee may agree in writing to receive part or all
of the wages in kind or in another form.
(c) Payment by a written instrument that is not negotiable
or for which payment is refused for any reason attributable to the
employer does not constitute payment of wages for the purposes of
this chapter.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.017. DELIVERY OF PAYMENT. (a) An employer shall
pay wages through a means authorized by this section.
(b) An employer may pay wages by:
(1) delivering them to the employee at the employee's
regular place of employment during regular employment hours;
(2) delivering them to the employee at a time and place
agreed on by the employer and employee;
(3) sending them to the employee by registered mail,
to be received by the employee not later than payday;
(4) delivering them in a manner similar to a manner
specified by Subdivision (1), (2), or (3) to a person designated by
the employee in writing; or
(5) delivering them to the employee by any reasonable
means authorized by the employee in writing.
(c) An employer may elect to pay wages to an employee who
maintains at a financial institution an account that qualifies for
electronic funds transfer through a direct deposit plan that uses
electronic funds transfer to deposit the wages in the employee's
account. An employer who desires to pay wages through a direct
deposit plan shall:
(1) notify each affected employee in writing, at least
60 days before the date on which the direct deposit payroll system
is scheduled to begin, that the employer is adopting a direct
deposit payroll system; and
(2) obtain from the employee any information required
by the financial institution in which the employee maintains the
account that is necessary to implement the electronic funds
transfer.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993. Amended
by Acts 2003, 78th Leg., ch. 316, § 1, eff. June 18, 2003.
§ 61.018. DEDUCTION FROM WAGES. An employer may not
withhold or divert any part of an employee's wages unless the
employer:
(1) is ordered to do so by a court of competent
jurisdiction;
(2) is authorized to do so by state or federal law; or
(3) has written authorization from the employee to
deduct part of the wages for a lawful purpose.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.019. FAILURE TO PAY WAGES; CRIMINAL PENALTY. (a)
An employer commits an offense if:
(1) at the time of hiring an employee, the employer
intends to avoid payment of wages owed to the employee; and
(2) the employer fails after demand to pay those
wages.
(b) An employer commits an offense if the employer:
(1) intends to avoid payment of wages owed to an
employee;
(2) intends to continue to employ the employee; and
(3) fails after demand to pay those wages.
(c) An employer commits a separate offense under Subsection
(b) for each pay period during which the employee earns wages that
the employer fails to pay.
(d) An offense under this section is a felony of the third
degree.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993. Amended
by Acts 1997, 75th Leg., ch. 1158, § 1, eff. Sept. 1, 1997.
§ 61.020. FAILURE TO PAY WAGES; ATTORNEY GENERAL
ACTION. The attorney general may seek injunctive relief in
district court against an employer who repeatedly fails to pay
wages as required by this chapter.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
SUBCHAPTER C. SECURITY FOR WAGE PAYMENTS
§ 61.031. BOND. (a) The commission may require an
employer to deposit a bond if:
(1) the employer is convicted of two violations of
this chapter; or
(2) a final order of the commission against an
employer for nonpayment of wages remains unsatisfied after the 10th
day after the date on which the time to appeal from that final order
has expired and an appeal is not pending.
(b) The bond must be:
(1) in an amount approved and considered by the
commission as adequate under the circumstances;
(2) payable to the state;
(3) conditioned that the employer, for a period not to
exceed 36 months, pay the employees in accordance with this
chapter; and
(4) conditioned that the employer pay any sum
recovered against the employer under this chapter.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.032. SUIT TO ENFORCE BOND REQUIREMENT. (a) If an
employer fails to deposit a bond required under Section 61.031
before the 11th day after the date on which demand is made for the
bond, the attorney general may bring a suit in the name of the state
against the employer to furnish the bond or to cease doing business
until the employer furnishes the bond.
(b) If the court finds just cause for requiring the bond and
that the bond is reasonably necessary and proper to secure prompt
payment of the wages of the employees of the employer and the
employer's compliance with this chapter, the court may enjoin the
employer from doing business until the requirement is met. The
injunction may also apply to any other person concerned with or in
any way participating in the failure to pay wages resulting in the
conviction or in a final order of the commission. The court may
make any other order appropriate and necessary to compel compliance
with the requirement.
(c) In an action under this section, the employer has the
burden of proving that the bond is unnecessary or that the amount
demanded by the commission is excessive.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.033. FAILURE OF SURETY COMPANY TO PAY VERIFIED
CLAIM FOR WAGES; CIVIL PENALTY. (a) A surety company that issues
a bond to secure the payment of wages under this chapter and that
wilfully fails to pay a verified claim for wages found to be due and
payable is subject to a civil penalty in the amount of $1,000 for
each failure to pay each employee.
(b) A subsequent violation is subject to a civil penalty in
the amount of $1,000 for each failure to pay each employee plus 25
percent of the amount unlawfully withheld.
(c) The attorney general shall recover a penalty imposed by
this section in an action brought in the name of the state.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
SUBCHAPTER D. WAGE CLAIMS
§ 61.051. FILING WAGE CLAIM. (a) An employee who is
not paid wages as prescribed by this chapter may file a wage claim
with the commission in accordance with this subchapter.
(b) A wage claim must be in writing on a form prescribed by
the commission and must be verified by the employee.
(c) A wage claim must be filed not later than the 180th day
after the date the wages claimed became due for payment.
(d) The employee may file the wage claim:
(1) in person at an office of the commission; or
(2) by mailing the claim to an address designated by
the commission.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.052. PRELIMINARY WAGE DETERMINATION
ORDER. (a) The commission shall analyze each wage claim filed
under Section 61.051 and, if the claim alleges facts actionable
under this chapter, shall investigate the claim and issue a
preliminary wage determination order:
(1) dismissing the wage claim; or
(2) ordering payment of wages determined to be due and
unpaid.
(b) If an administrative penalty is imposed under Section
61.053, the preliminary wage determination order must include an
order for payment of the penalty.
(c) The commission shall mail notice of the preliminary wage
determination order to each party at that party's last known
address, as reflected by commission records.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.053. BAD FAITH; ADMINISTRATIVE PENALTY. (a) If
the commission determines that an employer acted in bad faith in not
paying wages as required by this chapter, the commission, in
addition to ordering the payment of the wages, may assess an
administrative penalty against the employer.
(b) If the commission determines an employee acted in bad
faith in bringing a wage claim, the commission may assess an
administrative penalty against the employee.
(c) An administrative penalty assessed under this section
may not exceed the lesser of:
(1) the amount of the wages in question or claimed; or
(2) $1,000.
(d) In determining the amount of an administrative penalty
assessed under this section, the commission shall consider:
(1) the seriousness of the violation;
(2) the history of previous violations;
(3) the amount necessary to deter a future violation;
and
(4) any other appropriate matter, including
mitigating circumstances.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.054. REQUEST FOR HEARING ON PRELIMINARY
ORDER. (a) Either party may request a hearing to contest a
preliminary wage determination order.
(b) The request for hearing must be made in writing not
later than the 21st day after the date the commission mails the
notice of the preliminary wage determination order.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.055. PRELIMINARY ORDER FINAL IF HEARING NOT
REQUESTED. If neither party requests a hearing to contest a
preliminary wage determination order within the period prescribed
by Section 61.054, the order becomes the final order of the
commission for all purposes, and neither party is entitled to
judicial review of the order under this subchapter.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.056. PAYMENT REQUIRED IF HEARING NOT
REQUESTED. (a) An employer that does not request a hearing within
the period prescribed by Section 61.054 to contest a preliminary
wage determination order shall pay the amount ordered to the
commission not later than the 21st day after the date the commission
mails notice of the order. The payment must equal the net amount of
outstanding wages after any valid deductions and must include an
itemized list of those deductions.
(b) Payment to the commission constitutes payment to the
employee for all purposes.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993. Amended
by Acts 1995, 74th Leg., ch. 76, § 9.14(a), eff. Sept. 1, 1995.
§ 61.057. NOTICE; TIME FOR HEARING. (a) A notice
regarding an administrative hearing conducted under this
subchapter must be mailed by the commission not later than the 21st
day after the date a request for the hearing is received by the
commission.
(b) As soon as practicable, but not later than the 45th day
after the date a notice is mailed under Subsection (a), the
commission shall conduct the hearing.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.058. HEARING PROCEDURES. (a) A hearing conducted
under this subchapter is subject to the rules and hearings
procedures used by the commission in the determination of a claim
for unemployment compensation benefits.
(b) The hearing is not subject to Chapter 2001, Government
Code.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993. Amended
by Acts 1995, 74th Leg., ch. 76, § 5.95(49), eff. Sept. 1, 1995.
§ 61.059. COMMISSION CONSIDERATION OF PRELIMINARY WAGE
DETERMINATION ORDER. The commission may modify, affirm, or
rescind a preliminary wage determination order.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.060. ORDER AFTER HEARING. After a hearing, the
commission shall enter a written order for the payment of wages that
the commission determines to be due or for the payment of any
penalty the commission assesses.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.061. NOTICE AND FINALITY OF ORDER. (a) The
commission shall mail to each party to the appeal notice of:
(1) the decision;
(2) the amount of wages subject to the order;
(3) the amount of any penalty assessed; and
(4) the parties' right to judicial review of the order.
(b) The notice shall be mailed to a party's last known
address, as shown by commission records.
(c) The order becomes final 14 days after the date on which
it is mailed unless before that date:
(1) a party to the appeal files a written motion for
rehearing; or
(2) the commission reopens the hearing.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.062. JUDICIAL REVIEW. (a) A party who has
exhausted the party's administrative remedies under this chapter
may bring a suit to appeal the order.
(b) The suit must be filed not later than the 30th day after
the date the final order is mailed.
(c) The commission and any other party to the proceeding
before the commission must be made defendants in the suit.
(d) The suit must be brought in the county of the claimant's
residence. If the claimant is not a resident of this state, the
suit must be brought in the county in this state in which the
employer has its principal place of business.
(e) An appeal under this subchapter is by trial de novo with
the substantial evidence rule being the standard of review in the
manner as applied to an appeal from a final decision under Subtitle
A, Title 4.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993. Amended
by Acts 1995, 74th Leg., ch. 76, § 9.14(b), eff. Sept. 1, 1995.
§ 61.063. PAYMENT TO COMMISSION; ESCROW PENDING REVIEW;
WAIVER. (a) Not later than the 30th day after the date a
commission order becomes final, the party required to pay wages or a
penalty shall:
(1) pay the amount to the commission; or
(2) if the party files a petition for judicial review
in a court of competent jurisdiction contesting the final order,
send the amount to the commission for deposit in an
interest-bearing escrow account.
(b) Unless the party files an affidavit of inability to pay
with the clerk of the court within the period specified in
Subsection (a), failure to send the amount within that period
constitutes a waiver of the right to judicial review.
(c) If after judicial review it is determined that some or
all of the wages are not owed or the penalty is reduced or is not
assessed, the commission shall remit the appropriate amount to the
party assessed the wage payment or penalty, plus the interest
accrued on the escrowed amount. Interest under this section shall
be paid for the period beginning on the date the assessed amount is
paid to the commission and ending on the date the amount is remitted
to the party.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993. Amended
by Acts 1995, 74th Leg., ch. 76, § 9.14(c), eff. Sept. 1, 1995.
§ 61.064. PAYMENT TO EMPLOYEE. Not later than the 30th
day after the date on which a claim is finally adjudicated or
otherwise resolved, the commission shall pay to the claimant wages
collected under this subchapter and any interest earned on those
wages.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.065. DEPOSIT OF PENALTY. The commission shall
deposit a penalty collected under this subchapter in the
unemployment compensation special administration fund established
under Subchapter E, Chapter 203.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.066. COMMISSION ACTION; ENFORCEMENT OF
ORDER. (a) The commission, in the name of the state and the
attorney general, may:
(1) bring a suit in a district court in Travis County
to enforce a final order from which an appeal under this chapter has
not been taken; or
(2) serve on the defaulting party a notice of
assessment stating the amount due.
(b) A notice of assessment served under this section is
prima facie evidence of the contents of the notice. However, the
defaulting party may show the incorrectness of the notice of
assessment.
(c) The notice shall be served in the manner provided by law
for service of process on a defendant in a civil action in district
court.
(d) A person aggrieved by the determination of the
commission as stated in the notice of assessment may seek judicial
review of the assessment by filing a petition for judicial review in
a Travis County district court not later than the 30th day after the
date on which the notice of assessment is served. A copy of the
petition shall be served in the manner prescribed by law for service
of process on a defendant in a civil action in district court on:
(1) a member of the commission; or
(2) a person designated by the commission for service
of process.
(e) If the party on whom a notice of assessment is served
does not seek judicial review as provided by this section, the
assessment is final for all purposes. An assessment that is not
contested or that is upheld after judicial review shall be
recorded, enforced, renewed, and otherwise treated as the final
judgment of a district court.
(f) Unless the adverse party prevails in the civil action or
the notice of assessment is reversed by a reviewing court, the
adverse party shall pay all costs of either action, including
attorney's fees, investigation costs, service costs, court costs,
and other applicable costs.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993. Amended
by Acts 1995, 74th Leg., ch. 76, § 9.14(d), eff. Sept. 1, 1995.
§ 61.067. RECIPROCAL COLLECTION ARRANGEMENTS. The
commission may enter into reciprocal arrangements with appropriate
authorized agencies of the United States or other states for the
collection of wage claims that are final under the laws of the
jurisdictions in which they were filed.
Added by Acts 1995, 74th Leg., ch. 76, § 9.15(a), eff. Sept. 1,
1995.
SUBCHAPTER E. ADMINISTRATIVE LIEN
§ 61.081. CREATION AND ATTACHMENT OF LIEN. (a) A final
order of the commission against an employer indebted to the state
for penalties or wages, unless timely appealed to a court, is a lien
on all the property belonging to the employer.
(b) The lien for an unpaid debt attaches at the time the
order of the commission becomes final.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.082. ENFORCEMENT OF LIEN. (a) Subchapters A and
B, Chapter 113, Tax Code, govern the enforcement of a lien
established under this subchapter.
(b) In administering and enforcing the lien, the commission
has the duties imposed and the powers conferred on the comptroller
for the enforcement of other liens under Subchapters A and B,
Chapter 113, Tax Code.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.0825. PRIORITY OF LIEN. A lien established under
this subchapter is superior to any other lien on the same property,
with the exception of a lien for ad valorem taxes.
Added by Acts 2001, 77th Leg., ch. 641, § 1, eff. Sept. 1, 2001.
§ 61.083. FILING; FEE. (a) A lien under this
subchapter may be recorded in the book entitled "State Tax Liens"
kept by the county clerk as provided by Section 113.004, Tax Code.
(b) The commission shall pay the county clerk of the county
in which a notice of the lien has been filed the usual fee for filing
and recording similar instruments. The fee shall be paid by warrant
drawn by the comptroller. The fee is an amount due to the
commission from the employer.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.084. RELEASE OF LIEN. (a) A lien under this
subchapter may be released in the manner provided by Subchapter A,
Chapter 113, Tax Code, for a state tax lien.
(b) If the liability secured by the lien is fully paid, the
commission shall mail a release of lien to the employer.
(c) The employer is responsible for filing a release of lien
with the appropriate county clerk and paying the county clerk's fee
for recording the release.
Acts 1993, 73rd Leg., ch. 269, § 1, eff. Sept. 1, 1993.
§ 61.085. ASSIGNMENT OF LIEN. A lien securing wages due
under this chapter may be assigned to the claimant, at the
claimant's request.
Added by Acts 1995, 74th Leg., ch. 761, § 1, eff. Sept. 1, 1995.
SUBCHAPTER F. DELINQUENCY; LEVY
§ 61.091. NOTICE OF DELINQUENCY. (a) If, under a final
order, a person is determined to be delinquent in the payment of
wages, penalties, interest, or other amounts due under this
chapter, the commission may notify personally or by mail any person
who:
(1) possesses or controls any of the delinquent
person's assets, including a credit, bank, or savings account or
deposit, or other intangible or personal property; or
(2) owes a debt to the delinquent person.
(b) A notice under this subchapter to a state officer,
department, or agency must be provided before the officer,
department, or agency presents to the comptroller the claim of the
delinquent person.
(c) A notice under this subchapter may be given at any time
after the wages, penalties, interest, or other amounts due under
this chapter become delinquent. The notice must state the amount of
wages, penalties, interest, or other amounts due and owing and any
additional amount that will accrue by operation of law in a period
not to exceed 30 days and, in the case of a credit, bank, or savings
account or deposit, is effective only up to that amount.
Added by Acts 1995, 74th Leg., ch. 761, § 2, eff. Sept. 1, 1995.
§ 61.092. DUTIES OF NOTICE RECIPIENT. (a) On receipt
of a notice under this subchapter, the person receiving the notice:
(1) shall advise the commission not later than the
20th day after the date on which the notice is received of each
asset belonging to the delinquent person that is possessed or
controlled by the person receiving the notice and of each debt owed
by the person receiving the notice to the delinquent person; and
(2) unless the commission consents to an earlier
disposition, may not transfer or dispose of the asset or debt
possessed, controlled, or owed by the person on the date the person
received the notice within the 60-day period after the date of
receipt of the notice.
(b) A notice under this subchapter that attempts to prohibit
the transfer or disposition of an asset possessed or controlled by a
bank is effective if it is delivered or mailed to the principal
office or any branch office of the bank, including any office of the
bank at which the deposit is carried or the credit or property is
held.
(c) A person who receives a notice under this subchapter and
who violates Subsection (a)(2) is liable to the commission for the
amount of the indebtedness of the delinquent person with respect to
whose obligation the notice was given, to the extent of the value of
the affected asset or debt.
Added by Acts 1995, 74th Leg., ch. 761, § 2, eff. Sept. 1, 1995.
§ 61.093. LEVY. (a) At any time during the 60-day
period provided by Section 61.092(a)(2), the commission may levy on
the asset or debt by delivery of a notice of levy.
(b) On receipt of the levy notice, the person possessing the
asset or debt shall transfer the asset to the commission or pay to
the commission the amount owed to the delinquent person.
Added by Acts 1995, 74th Leg., ch. 761, § 2, eff. Sept. 1, 1995.
§ 61.094. NOTICE EFFECT. A notice delivered under this
subchapter is effective:
(1) at the time of delivery against all property,
rights to property, credits, or debts involving the delinquent
person that are not on the date of the notice subject to a
preexisting lien, attachment, garnishment, or execution issued
through a judicial process; and
(2) against all property, rights to property, credits,
or debts involving the delinquent person that come into the
possession or control of the person served with a notice of levy
during the 60-day period provided by Section 61.092(a)(2).
Added by Acts 1995, 74th Leg., ch. 761, § 2, eff. Sept. 1, 1995.
§ 61.095. DISCHARGE OF LIABILITY. A person acting in
accordance with the terms of the notice issued by the commission
under this subchapter is discharged from any obligation or
liability to the delinquent person with respect to the affected
property, rights to property, credits, and debts of the person
affected by compliance with the notice of freeze or levy.
Added by Acts 1995, 74th Leg., ch. 761, § 2, eff. Sept. 1, 1995.
