Regular Session
Government Affairs & Regulatory Compliance Analysis
SB1433 empowers the Office of the Attorney General (OAG) to assert legislative privilege in constitutional challenges, effectively shielding state communications and internal deliberations from discovery. This change significantly increases the difficulty and cost for businesses attempting to overturn state statutes or regulations through litigation.
Sen. Paul Bettencourt·Senate Bill·Regular Session
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Key implementation requirements and action items for compliance with this legislation
No changes required. This statute governs court procedure and evidence rules; it does not impact vendor terms or Master Services Agreements.
No impact on general staffing. General Counsels must brief outside counsel on the new evidentiary hurdles regarding state litigation.
No new internal reporting requirements. The burden of documentation (providing evidence of representation) lies solely with the Attorney General.
No new statutory fees. However, businesses challenging state laws must budget for increased legal fees. Expect outside counsel to bill additional hours fighting privilege assertions and litigating the "conflict of interest" exception.
The statute prohibits the AG from asserting privilege if it creates a "conflict in representation," but fails to define what constitutes such a conflict. Additionally, the specific documentation required to satisfy the "evidence of representation" (due within 30 days of assertion) is undefined. We anticipate the OAG will interpret these broadly to block discovery, while courts will have to define the limits on a case-by-case basis.
JD Key Consulting specializes in Texas regulatory compliance strategy. Work directly with James Dickey—former Chairman of the Republican Party of Texas—to understand this bill's impact on your operations and develop an actionable compliance plan.
Schedule a ConsultationInformation presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.
This bill's path through the Texas Legislature
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Common questions about SB1433
SB1433 empowers the Office of the Attorney General (OAG) to assert legislative privilege in constitutional challenges, effectively shielding state communications and internal deliberations from discovery. This change significantly increases the difficulty and cost for businesses attempting to overturn state statutes or regulations through litigation.
SB1433 was authored by Texas Senator Paul Bettencourt during the Regular Session.
SB1433 was signed into law by Governor Greg Abbott on June 20, 2025.
SB1433 is enforced by Office of the Attorney General.
The regulatory priority for SB1433 is rated as "low". Businesses and organizations should review the legislation to understand potential impacts.
The cost impact of SB1433 is estimated as "low". This may vary based on industry and implementation requirements.
SB1433 addresses topics including courts, courts--general, legislature, state agencies, boards & commissions and attorney general.
Key dates for SB1433: Effective date is 2025-09-01. Consult with legal counsel regarding applicability.
JD Key Consulting is an Austin, Texas-based government affairs firm led by James Dickey, former Chairman of the Republican Party of Texas. We specialize in Texas regulatory compliance and legislative strategy for data centers, energy, banking, and manufacturing.
