X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.
Click here for the full text of this decision FACTS: An employee of Steve’s and Sons Doors signed an agreement waiving a cause of action against Steve’s, a workers’ compensation non-subscriber, for injuries sustained in the course and scope of employment. He signed the agreement some time before June 17, 2001. The employee was injured on July 21, 2001. He filed suit against Steve’s. The trial court granted Steve’s summary judgment motion, concluding that the waiver was valid and enforceable. The employee appeals. He says that his case is governed by legislation passed in 2001 saying the type of waiver he signed is unenforceable. HOLDING: Reversed and remanded. In Lawrence v. CDB Servs. Inc., 44 S.W.3d 544 (Tex. 2001), the Texas Supreme Court ruled that agreements containing these types of waivers-signed prior to the injury-were allowable under Texas law. The Legislature passed an amendment to Labor Code �496.033, which specifically stated that the waivers were void. In Storage & Processors Inc. v. Reyes, No. 02-1008 (Tex. Apr. 2, 2004), the high court ruled that the amendment was not retroactive. The court held, then, that the 2001 amendment is not to be applied retroactively to an agreement signed by an employee before the amendment if the employee was also injured before the effective date of the amendment. The court listed the effective date as Sept. 1, 2001. The court points out that the text of the bill that became the Labor Code amendment stated that the statute would take effect “immediately” if passed with a two-thirds vote of each house, or, if not, on Sept. 1. The bill was passed by a two-thirds vote of both houses, the court discovers, on June 17. Therefore, the bill became effective on that date. The court concludes that the Supreme Court’s reference to the Sept. 1 effective date was merely a typographical error. Though the employee in this case signed an agreement before the effective date of June 17, he was injured after the effective date, so the amendment applies, and the agreement is unenforceable. OPINION: Speedlin, J.; Green, Marion and Speedlin, JJ.

Want to continue reading?
Become a Free ALM Digital Reader.

Benefits of a Digital Membership:

  • Free access to 3 articles* every 30 days
  • Access to the entire ALM network of websites
  • Unlimited access to the ALM suite of newsletters
  • Build custom alerts on any search topic of your choosing
  • Search by a wide range of topics

*May exclude premium content
Already have an account?

 
 

ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.