CHAPTER 61. PAYMENT OF WAGES

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LABOR CODE

TITLE 2. PROTECTION OF LABORERS

SUBTITLE C. WAGES

CHAPTER 61. PAYMENT OF WAGES

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 61.001. DEFINITIONS. In this chapter:

(1) "Commission" means the Texas Workforce Commission.

(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, Sec. 1, eff. Sept. 1, 1993.

Amended by Acts 1995, 74th Leg., ch. 76, Sec. 5.95(27), 9.12(a),

eff. Sept. 1, 1995.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 1, eff. September 1, 2005.

Sec. 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.

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, Sec. 1, eff. Sept. 1, 1993.

Amended by Acts 1995, 74th Leg., ch. 76, Sec. 9.13(a), eff. Sept.

1, 1995.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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, Sec. 9.13(b), eff. Sept.

1, 1995.

Sec. 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).

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, Sec. 9.13(b), eff. Sept.

1, 1995. Amended by Acts 2003, 78th Leg., ch. 817, Sec. 10.11,

eff. Sept. 1, 2003.

SUBCHAPTER B. PAYMENT OF WAGES

Sec. 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.

consist as nearly as possible of an equal number of days.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Sec. 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.

workplace, notices indicating the paydays.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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.

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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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.

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, Sec. 1, eff. Sept. 1, 1993.

Amended by Acts 2003, 78th Leg., ch. 316, Sec. 1, eff. June 18,

2003.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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.

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, Sec. 1, eff. Sept. 1, 1993.

Amended by Acts 1997, 75th Leg., ch. 1158, Sec. 1, eff. Sept. 1,

1997.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

SUBCHAPTER C. SECURITY FOR WAGE PAYMENTS

Sec. 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;

(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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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.

of proving that the bond is unnecessary or that the amount

demanded by the commission is excessive.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Sec. 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.

section in an action brought in the name of the state.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

SUBCHAPTER D. WAGE CLAIMS

Sec. 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 filed in a manner and on a form

prescribed by the commission and must be verified by the

employee.

after the date the wages claimed became due for payment. The

180-day deadline is a matter of jurisdiction.

(d) The employee may file the wage claim:

(1) in person at an office of the commission;

(2) by mailing the claim to an address designated by the

commission;

(3) by faxing the claim to a fax number designated by the

commission; or

(4) by any other means adopted by the commission by rule.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

21, Sec. 1, eff. September 1, 2009.

Acts 2009, 81st Leg., R.S., Ch.

97, Sec. 1, eff. September 1, 2009.

Sec. 61.052. PRELIMINARY WAGE DETERMINATION ORDER. (a) An

examiner employed by 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 a commission examiner imposes an administrative penalty

under Section 61.053, the preliminary wage determination order

must include an order for payment of the penalty.

(b-1) If a wage claim is filed later than the date described by

Section 61.051(c), the examiner shall dismiss the wage claim for

lack of jurisdiction.

wage determination order to each party at that party's last known

address, as reflected by commission records.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 2, eff. September 1, 2005.

Acts 2009, 81st Leg., R.S., Ch.

21, Sec. 2, eff. September 1, 2009.

Sec. 61.0525. ESTABLISHMENT OF WAGE CLAIM APPEAL TRIBUNALS. (a)

The commission shall establish one or more impartial wage claim

appeal tribunals to hear and decide disputed wage claims if the

commission determines that establishment of those tribunals is

necessary to ensure prompt disposal of wage claims cases on

appeal.

(b) Each wage claim appeal tribunal shall be composed of a

salaried examiner appointed by the commission.

Added by Acts 2005, 79th Leg., Ch.

378, Sec. 3, eff. September 1, 2005.

Sec. 61.053. BAD FAITH; ADMINISTRATIVE PENALTY. (a) If the

commission examiner, a wage claim appeal tribunal, or the

commission determines that an employer acted in bad faith in not

paying wages as required by this chapter, the examiner, tribunal,

or commission, in addition to ordering the payment of the wages,

may assess an administrative penalty against the employer.

(b) If the commission examiner, a wage claim appeal tribunal, or

the commission determines an employee acted in bad faith in

bringing a wage claim, the examiner, tribunal, or commission may

assess an administrative penalty against the employee.

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 examiner, a wage

claim appeal tribunal, or 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, Sec. 1, eff. Sept. 1, 1993.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 4, eff. September 1, 2005.

Sec. 61.054. REQUEST FOR HEARING ON PRELIMINARY ORDER. (a)

Either party may request a hearing before a wage claim appeal

tribunal to appeal a preliminary wage determination order made

under Section 61.052.

(b) The request for hearing must be made in writing not later

than the 21st day after the date the commission examiner mails

the notice of the preliminary wage determination order.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 5, eff. September 1, 2005.

Sec. 61.055. PRELIMINARY ORDER FINAL IF HEARING NOT REQUESTED.

If neither party requests a hearing to appeal 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, Sec. 1, eff. Sept. 1, 1993.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 6, eff. September 1, 2005.

Sec. 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 appeal 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, Sec. 1, eff. Sept. 1, 1993.

Amended by Acts 1995, 74th Leg., ch. 76, Sec. 9.14(a), eff. Sept.

1, 1995.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 7, eff. September 1, 2005.

Sec. 61.057. NOTICE; TIME FOR HEARING. (a) A notice regarding

an administrative hearing conducted under this subchapter must be

mailed by the wage claim appeal tribunal 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

tribunal shall conduct the hearing.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 8, eff. September 1, 2005.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Amended by Acts 1995, 74th Leg., ch. 76, Sec. 5.95(49), eff.

Sept. 1, 1995.

Sec. 61.059. CONSIDERATION OF PRELIMINARY WAGE DETERMINATION

ORDER. The wage claim appeal tribunal may modify, affirm, or

rescind a preliminary wage determination order.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 9, eff. September 1, 2005.

Sec. 61.060. ORDER AFTER HEARING. After a hearing, the wage

claim appeal tribunal shall enter a written order for the payment

of wages that the tribunal determines to be due or for the

payment of any penalty the tribunal assesses.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 10, eff. September 1, 2005.

Sec. 61.061. NOTICE AND FINALITY OF ORDER. (a) The wage claim

appeal tribunal shall mail to each party to the appeal notice of:

(1) the decision;

(2) the amount of wages subject to the order; and

(3) the amount of any penalty assessed.

(b) The notice shall be mailed to a party's last known address,

as shown by commission records.

days after the date on which it is mailed unless a further appeal

to the commission is initiated as provided by this subchapter.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 11, eff. September 1, 2005.

Sec. 61.0611. REMOVAL OR TRANSFER OF CLAIM PENDING BEFORE WAGE

CLAIM APPEAL TRIBUNAL. (a) The commission by order may remove

to itself or transfer to another wage claim appeal tribunal the

proceedings on a wage claim pending before a wage claim appeal

tribunal.

(b) The commission promptly shall mail to the parties to the

affected wage claim a notice of the order under Subsection (a).

to the commission under Subsection (a).

Added by Acts 2005, 79th Leg., Ch.

378, Sec. 12, eff. September 1, 2005.

Sec. 61.0612. COMMISSION REVIEW OF WAGE CLAIM APPEAL TRIBUNAL

ORDER. The commission may:

(1) on its own motion:

(A) affirm, modify, or set aside an order issued under Section

61.061 on the basis of the evidence previously submitted in the

case; or

(B) direct the taking of additional evidence; or

(2) permit any of the parties affected by the order to initiate

a further appeal before the commission.

Added by Acts 2005, 79th Leg., Ch.

378, Sec. 12, eff. September 1, 2005.

Sec. 61.0613. NOTICE OF COMMISSION ACTION. (a) The commission

shall mail to each party to the appeal under Section 61.0612

notice of:

(1) the commission's 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.

Added by Acts 2005, 79th Leg., Ch.

378, Sec. 12, eff. September 1, 2005.

Sec. 61.0614. FINALITY OF COMMISSION ORDER. An order of the

commission becomes final 14 days after the date the order is

mailed unless before that date:

(1) the commission by order reopens the appeal; or

(2) a party to the appeal files a written motion for rehearing.

Added by Acts 2005, 79th Leg., Ch.

378, Sec. 12, eff. September 1, 2005.

Sec. 61.062. JUDICIAL REVIEW. (a) A party who has exhausted

the party's administrative remedies under this chapter, other

than a motion for rehearing, 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.

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, Sec. 1, eff. Sept. 1, 1993.

Amended by Acts 1995, 74th Leg., ch. 76, Sec. 9.14(b), eff. Sept.

1, 1995.

Amended by:

Acts 2005, 79th Leg., Ch.

378, Sec. 13, eff. September 1, 2005.

Sec. 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.

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, Sec. 1, eff. Sept. 1, 1993.

Amended by Acts 1995, 74th Leg., ch. 76, Sec. 9.14(c), eff. Sept.

1, 1995.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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.

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, Sec. 1, eff. Sept. 1, 1993.

Amended by Acts 1995, 74th Leg., ch. 76, Sec. 9.14(d), eff. Sept.

1, 1995.

Sec. 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, Sec. 9.15(a), eff. Sept.

1, 1995.

SUBCHAPTER E. ADMINISTRATIVE LIEN

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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, Sec. 1, eff. Sept. 1,

2001.

Sec. 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, Sec. 1, eff. Sept. 1, 1993.

Sec. 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.

with the appropriate county clerk and paying the county clerk's

fee for recording the release.

Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993.

Sec. 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, Sec. 1, eff. Sept. 1,

1995.

SUBCHAPTER F. DELINQUENCY; LEVY

Sec. 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.

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, Sec. 2, eff. Sept. 1,

1995.

Sec. 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.

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, Sec. 2, eff. Sept. 1,

1995.

Sec. 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, Sec. 2, eff. Sept. 1,

1995.

Sec. 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, Sec. 2, eff. Sept. 1,

1995.

Sec. 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, Sec. 2, eff. Sept. 1,

1995.

State Codes and Statutes

State Codes and Statutes

State Codes and Statutes

State Codes and Statutes

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