By Janet Miranda
The Texas Department of Insurance will have to face a lawsuit on claims that a provision that governs public insurance adjusters in the state is a violation of commercial speech and unconstitutionally vague, a state court of appeals said overturning a trial court’s ruling.
Texas law prohibits the unlicensed practice of public insurance adjusting in addition to barring contractors licensed as public insurance adjusters from providing insurance claim services on properties where they also provide contracting. A roofing contractor, Stonewater Roofing Ltd. Co., sued to invalidate the statute on claims that it violated its First Amendment and Fourteenth Amendment rights. …
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