Texas legislation · 89th Legislature Regular Session
Texas SB2337: Relating to the regulation of the provision of proxy advisory services.
Status: Signed into law, June 20, 2025
What the bill says
An act relating to the regulation of the provision of proxy advisory services.
From the enrolled text, June 1, 2025:
AN ACT relating to the regulation of the provision of proxy advisory services. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. The legislature finds that: (1) when shareholders in this state hire professionals to provide advice in the exercise of their rights as shareholders, the shareholders expect that service to be performed in their financial interest as shareholders, and professionals who are hired by shareholders to provide that service and who deviate from that expectation must clearly disclose that fact; (2) there is a particular need for disclosures for proxy voting advice because that advice is often: (A) provided for hundreds or thousands of shareholder votes each year; and (B) based on lengthy policies that contain general statements but do not explain whether or how the policy provisions will maximize returns for investors for any particular company or shareholder vote; (3) proxy advisors: (A) have recommended votes based on environmental, social, or governance (ESG) investing, diversity, equity, or inclusion (DEI), and social credit or sustainability scores; and (B) have not conducted financial analyses before making the recommendations described by Paragraph (A) of this subdivision despite having proxy voting policies claiming that the purpose of the recommendation is maximizing and protecting shareholder value; (4) requiring proxy advisors to provide clear, factual disclosures when the advisors recommend …
Sponsors
- Bryan Hughes (R, SD-001) · primary sponsor
- Phil King (R, SD-010)
- Jeff Leach (R, HD-067)
Latest actions
- : Effective on 9/1/25
- : Signed by the Governor
- : Sent to the Governor
- : Signed in the House
- : Signed in the Senate
- : Reported enrolled
- : House adopts conf. comm. report-reported
- : Senate adopts conf. comm. report-reported
- : Statement(s) of vote recorded in Journal
- : Record vote (RV#4121)
Votes
- Trade, Workforce & Economic Development Committee Vote (Out of committee): 6 yea, 2 nay, passed
- State Affairs Committee Vote (Out of committee): 9 yea, 1 nay, passed
- Senate adopts conference committee report (May 31, 2025): 21 yea, 10 nay, passed
- Record vote RV#4121 (May 31, 2025): 82 yea, 41 nay, passed
- Record vote RV#3866 (May 28, 2025): 92 yea, 50 nay, passed
- Record vote RV#3744 (May 27, 2025): 92 yea, 47 nay, passed
Subjects: Business & Commerce--General, Civil Remedies & Liabilities, FINANCIAL ADVISORS, Financial--General, Business & Commerce--Trade Practices, Human Relations
Common questions
- What is SB2337?
- SB2337 is a bill in the Texas Legislature (89th Legislature Regular Session): Relating to the regulation of the provision of proxy advisory services.
- What does SB2337 do?
- In its own words: An act relating to the regulation of the provision of proxy advisory services.
- What is the status of SB2337?
- Signed into law as of June 20, 2025. Latest action: Effective on 9/1/25 (June 20, 2025).
- Who sponsored SB2337?
- Bryan Hughes (R, SD-001), with 2 co-sponsors.
- Where is the official record for SB2337?
- On the Texas Legislature website: https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=SB02337
Source: official Texas record. Tracked by Delilah, AI for legislation across all 50 states and Congress.