H.B. No. 4623 introduces a new chapter, Chapter 118, to the Civil Practice and Remedies Code, which addresses the liability of public schools and their professional employees for certain acts of sexual misconduct involving students. The bill defines key terms such as "public school," "professional school employee," and "sexual misconduct," and establishes that public schools can be held liable if they are grossly negligent or engage in intentional misconduct in hiring or supervising employees who commit acts of sexual misconduct or fail to report suspected child abuse. Additionally, it mandates that the employee involved must be named as a defendant in any legal action against the school.

The bill also stipulates that claimants who prevail in lawsuits under this chapter are entitled to actual damages up to $500,000, as well as court costs and reasonable attorney's fees. It waives governmental immunity for public schools concerning liabilities created by this chapter and abolishes official immunity for professional school employees in related actions. The provisions of this chapter will apply only to acts or omissions occurring on or after the effective date of the Act, which is set for September 1, 2025.

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