H.B. No. 876
 
 
 
 
AN ACT
  relating to fees charged by certain persons for the method used for
  payments made under an agreement.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subtitle C, Title 5, Business & Commerce Code, is
  amended by adding Chapter 116 to read as follows:
  CHAPTER 116. FEES FOR CERTAIN PAYMENT METHODS
         Sec. 116.0001.  DEFINITIONS. In this chapter:
               (1)  "Payee" means an individual who resides in this
  state or a corporation, trust, partnership, association, or other
  private legal entity authorized to do business in this state that
  receives money as payment under an agreement.
               (2)  "Person" means an individual, corporation, trust,
  partnership, association, or other private legal entity.
         Sec. 116.0002.  FEE FOR CERTAIN PAYMENTS BY PAPER CHECK
  PROHIBITED. (a) A person that makes a payment to a payee may not
  charge an additional fee to the payee because the payee elects to
  receive the payment by paper check instead of by an automated
  clearinghouse transaction or other electronic funds transfer.
         (b)  A provision in a contract permitting a person to charge
  or collect a fee from a payee in violation of Subsection (a) is void
  and unenforceable.
         SECTION 2.  To the extent of a conflict between Section
  116.0002(a), Business & Commerce Code, as added by this Act, and a
  provision of a contract entered into before the effective date of
  this Act, the provision of the contract prevails.
         SECTION 3.  This Act takes effect September 1, 2021.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 876 was passed by the House on April
  9, 2021, by the following vote:  Yeas 139, Nays 5, 2 present, not
  voting.
 
  ______________________________
  Chief Clerk of the House   
 
 
         I certify that H.B. No. 876 was passed by the Senate on May
  19, 2021, by the following vote:  Yeas 30, Nays 1.
 
  ______________________________
  Secretary of the Senate    
  APPROVED:  _____________________
                     Date          
   
            _____________________
                   Governor