(a) A governmental unit may not enter into a settlement of a claim or action against the governmental unit in which:
(1) the amount of the settlement is equal to or greater than $30,000;
(2) the money that would be used to pay the settlement is:
(A) derived from taxes collected by a governmental unit;
(B) received from the state; or
(C) insurance proceeds received from an insurance policy for which the premium was paid with taxes collected by a governmental unit or money received from the state; and
(3) a condition of the settlement requires a party seeking affirmative relief against the governmental unit to agree not to disclose any fact, allegation, evidence, or other matter to any other person, including a journalist or other member of the media.
(b) A settlement agreement provision entered into in violation of Subsection (a) is void and unenforceable.
Terms Used In Texas Civil Practice and Remedies Code 116.002
- Allegation: something that someone says happened.
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- 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.