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Texas Business & Commerce Code

§ 542.003 — CYBERSECURITY PROGRAM SAFE HARBOR: EXEMPLARY DAMAGES PROHIBITED

BC § 542.003Title 11. PERSONAL IDENTITY INFORMATION · Part C. CONSUMER DATA PROTECTION · Ch. 542. CYBERSECURITY PROGRAM

Statute text

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Notwithstanding any other law, in an action arising from a breach of system security, a person harmed as a result of the breach may not recover exemplary damages from a business entity to which this chapter applies if the entity demonstrates that at the time of the breach the entity implemented and maintained a cybersecurity program in compliance with Section 542.004.

Legislative history

Added by Acts 2025, 89th Leg., R.S., Ch. 1029 (S.B. 2610), Sec. 1, eff. September 1, 2025.

Source: Texas Business & Commerce Code § 542.003 from the Texas Constitution and Statutes (Texas Legislature) (public record). DecisionDepot is for informational use only and is not legal advice — verify against the official source before relying on this text.