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eXpendit

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Settlements and Judgments
Certain Settlement Agreements Prohibited

A state agency may not enter into a settlement of a claim or action against the agency if:

  • The amount of the settlement is equal to or greater than $30,000.
  • A condition of the settlement requires a party seeking affirmative relief against the agency 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.
  • The money that would be used to pay the settlement is:
    • Derived from taxes collected by a state agency.
    • Received from the state of Texas.
    • Insurance proceeds received from an insurance policy for which the premium was paid with taxes collected by a state agency.

A settlement agreement that violates this prohibition is void and unenforceable.

This provision does not affect information that is privileged or confidential under other law.

Sources [+]

Civil Practice and Remedies Code, Sections 116.002 and 116.003.