(a) The settlement procedures provided in this chapter apply only to claims for monetary relief.
(b) This chapter does not apply to:
(1) a class action;
(2) a shareholder’s derivative action;
(3) an action by or against a governmental unit;
(4) an action brought under the Family Code;
(5) an action to collect workers’ compensation benefits under Subtitle A, Title 5, Labor Code; or
(6) an action filed in a justice of the peace court or a small claims court.

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Terms Used In Texas Civil Practice and Remedies Code 42.002

  • Defendant: In a civil suit, the person complained against; in a criminal case, the person accused of the crime.
  • Justice: when applied to a magistrate, means justice of the peace. See Texas Government Code 312.011
  • Litigation: A case, controversy, or lawsuit. Participants (plaintiffs and defendants) in lawsuits are called litigants.
  • Person: includes corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, and any other legal entity. See Texas Government Code 311.005
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.

(c) This chapter does not apply until a defendant files a declaration that the settlement procedure allowed by this chapter is available in the action. If there is more than one defendant, the settlement procedure allowed by this chapter is available only in relation to the defendant that filed the declaration and to the parties that make or receive offers of settlement in relation to that defendant.
(d) This chapter does not limit or affect the ability of any person to:
(1) make an offer to settle or compromise a claim that does not comply with Section 42.003; or
(2) offer to settle or compromise a claim in an action to which this chapter does not apply.
(e) An offer to settle or compromise that does not comply with Section 42.003 or an offer to settle or compromise made in an action to which this chapter does not apply does not entitle any party to recover litigation costs under this chapter.