2025 Texas Statutes
Finance Code
Title 4 - Regulation of Interest, Loans, and Financed Transactions
Subtitle B - Loans and Financed Transactions
Chapter 349 - Penalties and Liabilities
Subchapter E. Procedures for Civil Actions
Section 349.403. Class Action
Sec. 349.403. CLASS ACTION. (a) In a class action that alleges one or more violations of this subtitle and is determined by the court to be maintainable as a class action, the class may recover the amount of actual damages proximately caused to the members of the class as a result of the violations.
(b) The court may assess as a penalty:
(1) for each obligor who is named as a class representative at the time that the action is determined to be maintainable as a class action, the amount that could be recovered by the person under this chapter; and
(2) for other class members, an amount set by the court under Subsection (c) and subject to Subsection (d).
(c) In determining the award amount, the court shall consider, in addition to other relevant factors:
(1) the amount of any actual damages awarded;
(2) the frequency and persistence of violations by the creditor;
(3) the resources of the creditor;
(4) the number of persons adversely affected; and
(5) the extent to which the creditor's violation was intentional or reckless.
(d) A minimum recovery is not applicable to a class member to whom Subsection (b)(2) applies. The total recovery under Subsection (b)(2) in a class action or series of class actions arising out of the same violation of this subtitle by the same person may not exceed the lesser of $100,000 or five percent of the net worth of the person.
(e) In a successful action to enforce the liability under this section, the court may award:
(1) costs of the action; and
(2) reasonable attorney's fees set by the court.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
