Moore v. Morales

843 F. Supp. 1124, 1994 U.S. Dist. LEXIS 364, 1994 WL 14570
CourtDistrict Court, S.D. Texas
DecidedJanuary 19, 1994
DocketCiv. A. H-93-2170
StatusPublished
Cited by14 cases

This text of 843 F. Supp. 1124 (Moore v. Morales) is published on Counsel Stack Legal Research, covering District Court, S.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Moore v. Morales, 843 F. Supp. 1124, 1994 U.S. Dist. LEXIS 364, 1994 WL 14570 (S.D. Tex. 1994).

Opinion

ORDER

HITTNER, District Judge.

Pending before the Court are the Motions for Preliminary and Permanent Injunction filed by plaintiffs in the above referenced cause. Having considered the motions, the submissions, and the testimony presented in a trial on the merits conducted by the Court on November 8 through 12, 1993, the Court determines that the motions should be granted.

Plaintiffs include various commercial entities that obtain accident reports and criminal offense reports from public agencies, such as police departments and the Texas Department of Public Safety, and disseminate that information for a fee. Plaintiffs also include licensed attorneys practicing in the State of Texas who utilize accident and criminal offense reports to solicit clients through direct mail advertising. Plaintiffs brought this action seeking a permanent injunction against enforcement of recent amendments to chapter 38 of the Texas Penal Code (“the Barratry Statute”) and to the Texas Uniform Act Regulating Traffic on Highways (“the Uniform Traffic Act”). Specifically, plaintiffs contend enforcement of Tex.Penal Code Ann. §§ 38.12(d)(2)(A), (B), (C), & (D) and 38.12(e), and Tex.Rev.Civ.StAt.Ann. art. 6701d § 47(a), (b), (c), (f), all effective September 1, 1993, would violate their constitutional rights pursuant to the First and Fourteenth Amendments to the United States Constitution.

This Court initially entered a Temporary Restraining Order against enforcement of the amendments to the Barratry Statute and the Uniform Traffic Act on August 31, 1993. By agreement of the parties, the Court extended the Temporary Restraining Order until the Court’s decision after a trial on the merits. The parties also agreed that only certain defendants, Texas Attorney General Dan Morales, Director of the Texas Department of Public Safety Colonel James R. Wilson, Webb County District Attorney Jose Rubio, Jr., and Wichita County District Attorney Barry Macha, would actively participate in the trial. All the defendants agreed to be bound by this Court’s decision.

Barratry refers to “the offense of ... exciting and stirring up quarrels and suits, either at law or otherwise.” 1 During the 1993 Regular Session, the Texas Legislature amended the Texas Barratry Statute. These amendments were the legislators’ second attempt to restrict barratry in the State of Texas. In 1991, the 72nd Legislature passed House Bill 922, amending Section 35.54 of the TexBus. & Com.Code Ann., and Senate Bill 857, amending Article 4512b of the Tex. Rev.Civ.Stat.Ann. House Bill 922 completely prohibited the use of crime or motor vehicle accident victim information for the purpose of soliciting business and the sale of such information to another person for financial gain. Senate Bill 857 permitted the Board of Chiropractic Examiners to reprimand a licensee for soliciting potential patients who had recently been involved in either a motor vehicle or work-related accident. The State of Texas argued that the prohibitions imposed by House Bill 922 and Senate Bill 857 promoted ethical standards necessary for licensed professionals, particularly in the legal profession. Further, the State argued that the restrictions were intended to prevent fraud and misrepresentation by these professionals. Finally, the State argued that it had a substantial interest in protecting the public from inflated insurance rates. 2 Innovative Database Systems, et al. v. Morales, 990 F.2d 217, 221 (5th Cir.1993). These bills were held to be unconstitutional by the district court, which was *1126 affirmed by the Fifth Circuit, because the “outright ban” was “too broad a means of effectuating the intended purpose of the law.” Id. at 222.

The amendments to the Barratry Statute that plaintiffs are currently challenging prohibit “attorneys, chiropractors, physicians, surgeons, private investigators licensed to practice in this state or any person licensed, certified, or registered by a health care regulatory agency of this state ...” from sending any written communications to targeted potential clients with the intent of obtaining professional employment within thirty days of an accident, criminal arrest, or the filing of a civil lawsuit. 3 Tex.Penal Code Ann. § 38.-12(b)(1) (Vernon Supp.1994).

The Texas Legislature passed House Bill 272, amending the Uniform Traffic Act, which prohibits the release of accident reports for 180 days from the date of the accident. Tex.Civ.Stat.Ann. art. 6701d, § 45(a) (Vernon Supp.1994). The amendments to the Uniform Traffic Act do afford, however, an opportunity for designated classes of people, including insurance agencies and the news media, to obtain such accident reports within 180 days of an accident. The Uniform Traffic Act acts in concert with the Barratry Statute. The amended Barratry Statute provides that accident reports “must include a means of designating whether an individual involved in an accident does or does not desire to be contacted by persons seeking professional employment____” Tex.Penal Code Ann. § 38.12(e). The Uniform Traffic Act provides that “... [t]he [accident report] forms must include a means of designating whether an individual involved in an accident does not desire to be contacted by persons seeking to obtain professional employment as a professional described by Section 38.12(b)(1), Penal Code.” Tex.Rev.Civ.Stat.Ann. § 6701d § 45(a).

The Supreme Court has held that states may regulate speech that is false, misleading, deceptive or related to an unlawful activity. Central Hudson Gas & Elec. Corp. v. Public Service Comm’n. of New York, 447 U.S. 557, 563, 100 S.Ct. 2343, 2350, 65 L.Ed.2d 341 (1980). However, if a state chooses to regulate speech, it has the burden of proving that the restrictions are justified. Edenfield v. Fane, — U.S. -, -, 113 S.Ct. 1792, 1800, 123 L.Ed.2d 543 (1992). In restricting commercial speech, states are not required to employ “least restrictive means” as is required for other forms of protected speech. Board of Trustees of State Univ. of N.Y. v. Fox, 492 U.S. 469, 476, 109 S.Ct. 3028, 3032, 106 L.Ed.2d 388 (1989). However, the Supreme Court has also stated that in regulating truthful, commercial speech, the State must prove that its interests in proscribing that speech are substantial, that the regulations advance these interests in a direct and material manner, and that the magnitude of the restriction is proportionate to the State’s interests in the regulation. Edenfield, — U.S. at -, 113 S.Ct. at 1800; see also Shapero v. Kentucky Bar Ass’n, 486 U.S. 466, 486, 108 S.Ct.

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Bluebook (online)
843 F. Supp. 1124, 1994 U.S. Dist. LEXIS 364, 1994 WL 14570, Counsel Stack Legal Research, https://law.counselstack.com/opinion/moore-v-morales-txsd-1994.