Government Code § 154.111

Sec. 154.111. DISCIPLINARY ACTIONS AGAINST FIRMS. (a) After receiving a complaint and giving the shorthand reporting firm or affiliate office notice and an opportunity for a hearing as prescribed by Subchapter B, Chapter 153, the commission shall reprimand, assess a reasonable fine against, or suspend, revoke, or refuse to renew the registration of a shorthand reporting firm or affiliate office for: (1) fraud or corruption; (2) dishonesty; (3) conduct on the part of an officer, director, or managerial employee of the shorthand reporting firm or affiliate office if the officer, director, or managerial employee orders, encourages, or permits conduct that the officer, director, or managerial employee knows or should have known violates this subtitle; (4) conduct on the part of an officer, director, or managerial employee or agent of the shorthand reporting firm or affiliate office who has direct supervisory authority over a person for whom the officer, director, employee, or agent knows or should have known violated this subtitle and knowingly fails to take reasonable remedial action to avoid or mitigate the consequences of the person's actions; (5) fraud or misrepresentation in obtaining registration; (6) a final conviction of an officer, director, or managerial employee of a shorthand reporting firm or affiliate office for a felony or misdemeanor that is directly related to the provision of court reporting services, as determined by supreme court rules; (7) engaging the services of a reporter that the shorthand reporting firm or affiliate office knew or should have known was using a method for which the reporter is not certified; (8) knowingly providing court reporting services while the shorthand reporting firm's or affiliate office's registration is suspended or engaging the services of a shorthand reporter whose certification the shorthand reporting firm or affiliate office knew or should have known was suspended; (9) unprofessional conduct, including: (A) giving directly or indirectly or benefiting from or being employed as a result of giving any gift, incentive, reward, or anything of value to attorneys, clients, or their representatives or agents, except for nominal items that do not exceed $100 in the aggregate for each recipient each year; or (B) repeatedly committing to provide at a specific time and location court reporting services for an attorney in connection with a legal proceeding and unreasonably failing to fulfill the commitment under the terms of that commitment; (10) entering into or providing services under a prohibited contract described by Section 154.115; or (11) committing any other act that violates this chapter or a rule or provision of the code of ethics adopted under this subtitle. (b) Nothing in Subsection (a)(9)(A) shall be construed to define providing value-added business services, including long-term volume discounts, such as the pricing of products and services, as prohibited gifts, incentives, or rewards. (c) The commission may suspend the registration of a shorthand reporting firm or affiliate office: (1) for a designated period of time in accordance with Section 154.110(b); (2) until the shorthand reporting firm or affiliate office corrects the deficiencies that were the grounds for the suspension; or (3) until the shorthand reporting firm or affiliate office complies with any conditions imposed by the commission to ensure the shorthand reporting firm's or affiliate office's future performance. (d) A shorthand reporting firm or affiliate office whose registration is suspended may apply for reinstatement by presenting proof that: (1) the designated time has expired; (2) the shorthand reporting firm or affiliate office has corrected the deficiencies; or (3) the shorthand reporting firm or affiliate office has complied with the conditions imposed by the commission. (e) Repealed by Acts 2017, 85th Leg., R.S., Ch. 516 (S.B. 43), Sec. 35(4), eff. September 1, 2017. (f) The commission may place on probation a shorthand reporting firm or affiliate office whose registration is suspended. If a registration suspension is probated, the commission may require the firm or office to: (1) report regularly to the commission on matters that are the basis of the probation; (2) limit practice to the areas prescribed by the commission; or (3) through its officers, directors, managerial employees, or agents, continue or review professional education until those persons attain a degree of skill satisfactory to the commission in those areas that are the basis of the probation. (g) The commission by rule shall define the conditions under which a shorthand reporting firm's or affiliate office's repeated failure to fulfill a commitment to provide court reporting services as described by Subsection (a)(9)(B) is considered unprofessional conduct and grounds for disciplinary action. Added by Acts 2001, 77th Leg., ch. 29, Sec. 14, eff. Sept. 1, 2001. Amended by Acts 2003, 78th Leg., ch. 813, Sec. 18, eff. Sept. 1, 2003. Transferred, redesignated and amended from Government Code, Subchapter C, Chapter 52 by Acts 2013, 83rd Leg., R.S., Ch. 42 (S.B. 966), Sec. 1.04, eff. September 1, 2014. Redesignated from Government Code, Subtitle K, Title 2 by Acts 2015, 84th Leg., R.S., Ch. 1236 (S.B. 1296), Sec. 21.001(21), eff. September 1, 2015. Amended by: Acts 2017, 85th Leg., R.S., Ch. 516 (S.B. 43), Sec. 22, eff. September 1, 2017. Acts 2017, 85th Leg., R.S., Ch. 516 (S.B. 43), Sec. 35(4), eff. September 1, 2017. Acts 2019, 86th Leg., R.S., Ch. 606 (S.B. 891), Sec. 7.16(a), eff. September 1, 2019.