Texas State Board of Veterinary Medical Examiners, and Nicole Oria, in Her Official Capacity as Executive Director// Ellen Jefferson, D.V.M. v. Ellen Jefferson, D.V.M.// Texas State Board of Veterinary Medical Examiners, and Nicole Oria, in Her Official Capacity as Executive Director ( 2015 )


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  •                                                                                         ACCEPTED
    03-14-00774-CV
    5976703
    THIRD COURT OF APPEALS
    AUSTIN, TEXAS
    7/8/2015 11:22:47 AM
    JEFFREY D. KYLE
    CLERK
    NO. 03-14-00774-CV
    ____________________________________________________
    FILED IN
    3rd COURT OF APPEALS
    IN THE THIRD COURT OF APPEALS AUSTIN, TEXAS
    AT AUSTIN, TEXAS          7/8/2015 11:22:47 AM
    ____________________________________________________
    JEFFREY D. KYLE
    Clerk
    TEXAS STATE BOARD OF VETERINARY MEDICAL EXAMINERS, and
    NICOLE ORIA, in Her Official Capacity as Executive Director
    Appellants/Cross-Appellees,
    v.
    ELLEN JEFFERSON, D.V.M.,
    Appellee/Cross-Appellant.
    ____________________________________________________
    On Appeal from the 127th Judicial District Court of Travis County, Texas
    Cause No. D-1-GN-14-000287
    The Honorable Gisela D. Triana presiding
    _________________________________________________
    BRIEF OF APPELLANTS/CROSS APPELLEES TEXAS STATE BOARD
    OF VETERINARY MEDICAL EXAMINERS AND NICOLE ORIA, IN HER
    OFFICIAL CAPACITY AS EXECUTIVE DIRECTOR
    ____________________________________________________
    KEN PAXTON                           TED A. ROSS
    Attorney General of Texas            Assistant Attorney General
    State Bar No. 24008890
    CHARLES E. ROY                       OFFICE OF THE TEXAS ATTORNEY
    First Assistant Attorney General     GENERAL
    ADMINISTRATIVE LAW DIVISION
    JAMES E. DAVIS                       P.O. Box 12548
    Deputy Attorney General for          Austin, Texas 78711-2548
    Civil Litigation                     Telephone: (512) 475-4191
    Facsimile: (512) 457-4674
    DAVID A. TALBOT, JR.                 Email: ted.ross@texasattorneygeneral.gov
    Chief, Administrative Law Division   Attorneys for Appellants/Cross-Appellees
    ORAL ARGUMENT CONDITIONALLY REQUESTED                     July 8, 2015
    TABLE OF CONTENTS
    TABLE OF CONTENTS .......................................................................................... ii
    INDEX OF AUTHORITIES.................................................................................... iii
    RECORD AND PARTY REFERENCES ............................................................... iv
    STATEMENT OF THE CASE ..................................................................................v
    REQUEST FOR ORAL ARGUMENT ................................................................... vi
    ISSUES PRESENTED FOR REVIEW ................................................................... vi
    STATEMENT OF FACTS ........................................................................................2
    SUMMARY OF THE ARGUMENT ........................................................................4
    ARGUMENT .............................................................................................................4
    I.       STANDARD OF REVIEW .............................................................................4
    II.      REGULATORY BACKGROUND .................................................................5
    III.     DR. JEFFERSON’S APA RULE CHALLENGE IS WITHOUT MERIT .....6
    A.       Both rules are consistent with the Act, including the “Ownership
    Exemption.” ...........................................................................................7
    CONCLUSION AND PRAYER .............................................................................10
    CERTIFICATE OF COMPLIANCE .......................................................................12
    CERTIFICATE OF SERVICE ................................................................................12
    ii
    INDEX OF AUTHORITIES
    Cases
    Dodd v. Meno, 
    870 S.W.2d 4
    (Tex. 1994) .................................................................5
    Reliant Energy, Inc. v. Public Util. Comm’n of Tex., 
    62 S.W.3d 833
          (Tex. App.—Austin 2001, no pet.) ..................................................................5
    Tex. Dep’t of Human Servs. v. Christian Care Ctrs., Inc., 
    826 S.W.2d 715
          (Tex. App—Austin 1992, writ denied)............................................................6
    Tex. Orthopaedic Ass’n v. Tex. State Bd. of Med. Exam’rs, 
    254 S.W.3d 714
          (Tex. App.—Austin 2008, pet. denied) .......................................................4, 5
    Statutes
    Tex. Civ. Prac. & Rem. Code § 37.001 .....................................................................3
    Tex. Gov’t Code § 2001.038......................................................................................3
    Tex. Gov’t Code § 801.004(1) ...............................................................................7, 8
    Tex. Occ. Code § 801.151 .........................................................................................5
    Tex. Occ. Code § 801.151(b) .....................................................................................6
    Tex. Occ. Code § 801.151(c)(1) ............................................................................5, 6
    Tex. Occ. Code §§ 801.402(4), (6), (12), (13), (16) ..................................................6
    Rules
    22 Tex. Admin. Code § 573.72 ........................................................................ passim
    22 Tex. Admin. Code § 573.80(2) ................................................................... passim
    iii
    RECORD AND PARTY REFERENCES
    The clerk’s record will be referred to as “CR ____.”
    The supplemental clerk’s record will be referred to as “Supp. CR ___.”
    Appellants/Cross-Appellees, the Texas State Board of Veterinary Medical
    Examiners, and Nicole Oria in Her Official Capacity as Executive Director, will be
    collectively referred to as the “Board” unless otherwise designated.
    Appellee/Cross-Appellant, Ellen Jefferson, D.V.M., will be referred to as
    “Dr. Jefferson.”
    iv
    STATEMENT OF THE CASE
    Dr. Jefferson filed the underlying district court suit, requesting declaratory
    and injunctive relief with respect to a pending Board disciplinary proceeding and
    various Board rules. CR 4. She then filed an amended petition wherein she asserted
    a number of challenges to the Board’s rules, two of which are at issue in this
    interlocutory appeal. CR 186.
    The Board filed a plea challenging the district court’s subject matter
    jurisdiction over Dr. Jefferson’s rule challenge, as well as her claims under the Texas
    Uniform Declaratory Judgment Act (“UDJA”). CR 67.
    The district court carried the Board’s plea with the trial of Dr. Jefferson’s other
    claims. After trial, the court issued a judgment granting the Board’s plea with
    respect to Dr. Jefferson’s UDJA claims, and denying the Board’s plea regarding her
    rule challenge. CR 855. See also Exhibit 1. The court ruled that it had jurisdiction
    over Dr. Jefferson’s rule challenge and went on to uphold the validity of the Board
    rules in question, with the exception of Board Rules 573.72 and 573.80(2). 22 Tex.
    Admin. Code §§ 573.72; 573.80(2). 
    Id. The Board
    then timely filed this interlocutory appeal of the denial of its plea
    on the rule challenge and the Court’s invalidation of Board Rules 573.72 and
    573.80(2). Suppl. CR 3.
    v
    Dr. Jefferson thereafter filed a counter-appeal regarding the dismissal of her
    UDJA claims. Suppl. CR 5.
    CONDITIONAL REQUEST FOR ORAL ARGUMENT
    The issues related to Dr. Jefferson’s rule challenge are purely legal in nature,
    and the Board therefore does not believe that oral argument would assist the Court
    with respect to those issues. However, the Board reserves the right to oral argument
    should it be granted.
    ISSUES PRESENTED FOR REVIEW
    Are Board rules 573.72 and 573.80(2) consistent with the “Ownership
    Exemption” in the Veterinary Practice Act?
    vi
    NO. 03-14-00774-CV
    ____________________________________________________
    IN THE THIRD COURT OF APPEALS
    AT AUSTIN, TEXAS
    ____________________________________________________
    TEXAS STATE BOARD OF VETERINARY MEDICAL EXAMINERS, and
    NICOLE ORIA, in her Official Capacity as Executive Director
    Appellants/Cross-Appellees,
    v.
    ELLEN JEFFERSON, D.V.M.,
    Appellee/Cross-Appellant.
    ____________________________________________________
    On Appeal from the 127th Judicial District Court of Travis County, Texas
    Cause No. D-1-GN-14-000287
    The Honorable Gisela D. Triana presiding
    _________________________________________________
    BRIEF OF APPELLANTS/CROSS APPELLEES TEXAS STATE BOARD
    OF VETERINARY MEDICAL EXAMINERS AND NICOLE ORIA, IN HER
    OFFICIAL CAPACITY AS EXECUTIVE DIRECTOR
    ____________________________________________________
    TO THE HONORABLE JUSTICES OF THE THIRD COURT OF APPEALS:
    Appellants/Cross-Appellees, the Texas State Board of Veterinary Medical
    Examiners, and Nicole Oria, in Her Official Capacity as Executive Director
    (hereinafter collective referred to as the “Board” unless otherwise designated), by
    and through the Office of the Attorney General of Texas and the undersigned
    Assistant Attorney General, submit the following brief in the captioned appeal.
    STATEMENT OF FACTS
    1.     Dr. Jefferson holds a license to practice veterinary medicine in Texas.
    CR 5, ¶ 1.
    2.     Dr. Jefferson is the founder and chief executive officer of San Antonio
    Pets Alive! (“SAPA”), a “no-kill” animal shelter located in San Antonio, Texas. 
    Id. 3. On
    November 23, 2012, the Board received a complaint from a foster
    care provider about Dr. Jefferson’s conduct related to a three-year old female
    German Shepherd named Starlight, who had been fostered out by SAPA. CR 56.
    The complaint asserted several allegations about Dr. Jefferson’s diagnoses of
    Starlight. CR 56-61. The complaint also alleged that drugs Dr. Jefferson prescribed
    for Starlight’s care were not properly administered, but were instead left on a SAPA
    volunteer’s front porch without proper labeling. CR 59.
    4.     After an informal settlement conference, review by the Board’s
    enforcement committee, and written notice to Dr. Jefferson, the Board filed a notice
    of hearing at the State Office of Administrative Hearings (“SOAH”), alleging
    violations of Chapter 801 of the Texas Occupations Code and administrative rules.
    CR 53-63. In particular, the Board alleges that Dr. Jefferson:
    •     failed to establish a veterinary client patient relationship prior to diagnosing
    and treating Starlight and prior to prescribing and dispensing medication;
    •     failed to treat Starlight with the required minimum standard of care;
    2
    •     failed to maintain proper patient records;
    •     failed to properly label medication; and
    •     engaged in a pattern of acts that indicate consistent malpractice, negligence,
    or incompetence in the practice of veterinary medicine.
    
    Id. 5. Instead
    of proceeding with the Starlight complaint before SOAH,
    Dr. Jefferson filed the underlying district court case, asserting claims for declaratory
    relief under the Texas Uniform Declaratory Judgments Act (“UDJA”), as well as for
    injunctive relief. CR 4. See Tex. Civ. Prac. & Rem. Code §§ 37.001, et seq. She
    later filed an amended petition wherein she challenged several Board rules under the
    Texas Administrative Procedure Act (“APA”), including the two rules in question
    in this proceeding. CR 216-223. See Tex. Gov’t Code § 2001.038.
    6.     The Board filed a plea to the jurisdiction, which was carried with the
    case to trial. CR 67.
    7.     After a bench trial held on August 4, 2014, the district court issued a
    final judgment which granted the Board’s plea with respect to Dr. Jefferson’s UDJA
    claims, and denying the Board’s plea regarding her rule challenge. CR 855; Exhibit
    1. The court ruled that it had jurisdiction over Dr. Jefferson’s rule challenge and
    went on to uphold the validity of the Board rules in question, with the exception of
    Board Rules 573.72 and 573.80(2). 
    Id. 3 SUMMARY
    OF THE ARGUMENT
    Board Rules 573.72 and 573.80(2) are both within the Board’s express and
    implied rulemaking authority granted by the legislature.
    Rule 573.72 does not apply to any licensed veterinary who can demonstrate
    that he or she is subject to the Veterinary Practice Act’s “Ownership Exemption.”
    The rule was simply adopted in order to prevent a licensed vet from hiding behind
    the veil of a non-profit or municipal corporation in establishing one or more of the
    criteria set forth in the exemption.
    Rule 573.80(2) is also consistent with the Ownership Exemption. The rule’s
    definition of “designated caretaker” furthers the legislative purpose of ensuring that
    non-veterinarians practicing veterinary medicine without a license cannot be exempt
    from the Act, thus protecting the public from the unsafe practice of veterinary
    medicine.
    ARGUMENT
    I.    STANDARD OF REVIEW
    When determining whether a rule is valid, a court must ascertain whether the
    rule is in harmony with the governing statutes and the general objectives of those
    statutes. Tex. Orthopaedic Ass’n v. Tex. State Bd. of Med. Exam’rs, 
    254 S.W.3d 714
    , 719 (Tex. App.—Austin 2008, pet. denied). In making that determination, it is
    4
    presumed that the rule is valid; the challenging party has the burden of proving
    otherwise. 
    Id., 254 S.W.3d
    at 722. Moreover, in deciding whether a rule exceeds
    an agency’s rulemaking authority, the agency’s construction of its governing
    statute(s) is entitled to “serious consideration” and “great weight” by a reviewing
    court as long as the construction is reasonable and does not contradict the plain
    language of the statute. 
    Id., 254 S.W.3d
    at 719; Dodd v. Meno, 
    870 S.W.2d 4
    , 7
    (Tex. 1994); Reliant Energy, Inc. v. Public Util. Comm’n of Tex., 
    62 S.W.3d 833
    ,
    838 (Tex. App.—Austin 2001, no pet.).
    II.   REGULATORY BACKGROUND
    The Board is the state agency empowered to regulate the practice of veterinary
    medicine in Texas. Tex. Occ. Code § 801.151. This includes the broad authority to
    adopt rules to protect the public. Tex. Occ. Code § 801.151(c)(1). Among the
    Board’s specific duties are the authority to discipline license holders for, among
    other things, engaging in dishonest or illegal practices in, or connected with, the
    practice of veterinary medicine or the practice of equine dentistry; engaging
    practices or conduct that violates the Board’s rules of professional conduct;
    performing or prescribing unnecessary or unauthorized treatment; ordering a
    prescription drug or controlled substance for the treatment of an animal without first
    establishing a veterinarian-client-patient relationship; and committing gross
    malpractice or a pattern of acts that indicate consistent malpractice, negligence, or
    5
    incompetence in the practice of veterinary medicine or the practice of equine
    dentistry. Tex. Occ. Code §§ 801.402(4), (6), (12), (13), (16).
    It is within this broad authority afforded the Board by the legislature that the
    rules in question must be examined.
    III.   DR. JEFFERSON’S APA RULE CHALLENGE IS WITHOUT MERIT
    As an initial matter, the Board advises the Court that it is not contesting that
    part of the district court’s final judgment which determines that the court had subject
    matter jurisdiction over Dr. Jefferson’s rule challenges. CR 855; Exhibit 1.
    However, the Board does contend that the judgment invalidating Board rules
    573.72 and 573.80(2) was incorrect. The rules in question are consistent with the
    Act, and they fall squarely within the Board’s express authority thereunder to protect
    the public from the unsafe practice of veterinary medicine. Tex. Occ. Code §
    801.151 (c)(1). See also the specific factors set forth in § 801.402. Tex. Occ. Code
    §§ 801.402(4), (6), (12), (13), (16).
    The rules are also within the Board’s implied authority because they are
    authorized by the legislature’s statutorily-enumerated purposes, those being the
    protection of the public and the establishment and maintenance of high integrity for
    the profession. Tex. Occ. Code § 801.151(b); Tex. Dep’t of Human Servs. v.
    Christian Care Ctrs., Inc., 
    826 S.W.2d 715
    , 719 (Tex. App—Austin 1992, writ
    denied).
    6
    A.    Both rules are consistent with the Act, including the “Ownership
    Exemption.”
    The Act provides that it does not apply to “the treatment or care of an animal
    in any manner by the owner of the animal, an employee of the owner, or a designated
    caretaker of the animal, unless the ownership, employment, or designation is
    established with the intent to violate this chapter.” Tex. Gov’t Code § 801.004(1)
    (“Ownership Exemption”).
    As will be discussed below, both rules are consistent with the Ownership
    Exemption.
    Rule 573.72
    Rule 573.72 provides:
    (a) A nonprofit or municipal corporation may employ or contract with
    a veterinarian to provide veterinary services in connection with
    sheltering, sterilization, vaccination, or other medical care and
    treatment of animals.
    (b) Employment by or contractual service to a nonprofit or municipal
    corporation does not exempt the veterinarian from any of the provisions
    of the Veterinary Licensing Act or the Board’s rules.
    (c) Veterinarians employed by, or contracted to, nonprofit or municipal
    corporations shall be liable for any violations of the Act or rules
    occurring as a result of the practice of veterinary medicine or any
    veterinary services provided by the nonprofit or municipal corporation,
    including those occurring due to the acts or omissions of non-licensed
    employees of, or volunteers for, the nonprofit or municipal corporation.
    22 Tex. Admin. Code § 573.72.
    7
    The district court held that rule 573.72 “violates the right of a non-profit or
    shelter to employ a licensed veterinarian and seek full protection of the ownership
    exemption for the treatment of animals for which the shelter is the owner.” CR ___.1
    To the contrary, the rule is consistent with the Ownership Exemption. If indeed a
    licensed veterinarian can demonstrate that he or she is an owner or designated
    caretaker of an animal, or is employed by an owner of an animal, then the rule would
    obviously not apply as long as the licensee did not intend to circumvent the
    provisions of the Act. Tex. Occ. Code § 801.004(1). Indeed, non-profits and
    municipal corporations often provide services to the general public and are not the
    owners, employees, or designated caretakers of animals. Rule 573.72 is simply
    written to prevent a licensed vet from hiding behind the veil of a non-profit or
    municipal corporation in establishing one of the exemption criteria, which is a
    separate matter from whether or not a vet is an owner of an animal, an employee of
    the owner, or a designated caretaker.
    The rule is not intended to apply to veterinarians who fall under the Ownership
    Exemption, and it is consistent with the exemption and the Act as a whole.
    1
    While the district court referred to Rule 573.72 as a whole, subsection (a) is not at issue in this
    appeal. No one disputes the right of a nonprofit or municipal corporation to “employ or contract
    with a veterinarian to provide veterinary services in connection with sheltering, sterilization,
    vaccination, or other medical care and treatment of animals.” The Board therefore assumes that
    the court meant to invalidate subsections (b) and (c) only.
    8
    Rule 573.80(2)
    Board Rule 573.80(2) defines a “designated caretaker” as:
    a person to whom the owner of an animal has given specific authority
    to care for the animal and who has not been designated, by using the
    pretext of being a designated caretaker, to circumvent the Veterinary
    Licensing Act (Chapter 801, Texas Occupations Code) by engaging in
    any aspect of the practice of veterinary medicine (including alternate
    therapies). A designated caretaker who treats an animal for a condition
    that the animal was known or suspected of having prior to the person
    being named a designated caretaker, is presumed to be attempting to
    circumvent the Veterinary Licensing Act unless the designated
    caretaker is following the instruction of a veterinarian and is under the
    appropriate level of supervision per board rules. In this situation, the
    designated caretaker may present evidence to rebut the presumption.
    22 Tex. Admin. Code § 573.80(2) (emphasis added).
    The district court held that the definition of “designated caretaker” violates
    the Ownership Exemption because “it creates a presumption that a person intends to
    violate the Act and then provides an impermissibly limited exception that requires
    the care of a veterinarian to prevent such violation.” CR 856; Exhibit 1. To the
    contrary, the definition is consistent with the Act, including the Ownership
    Exemption. The intent of the rule is to ensure that non-veterinarians practicing
    veterinary medicine without a license cannot be exempt from the Act. If the rule is
    invalidated then anyone caught practicing veterinary medicine without a license
    could evade responsibility by simply claiming that he or she is a “designated
    caretaker.” Indeed, absent the rule, the common definition of “designated caretaker”
    9
    would simply be any person who is “designated” to “care” for an animal. That would
    vitiate the entire Act and would create an absurd result which the legislature never
    intended.2 On the other hand, neither vets nor people practicing without a license
    would generally be practicing unless the animal already had a condition. Thus,
    preventing someone from being a “designated caretaker” after an animal has a
    condition furthers the purpose of the Act and protects the public from the unsafe
    practice of veterinary medicine.
    Rule 573.80(2) is also entirely consistent with the Ownership Exemption and
    the Act as a whole.
    CONCLUSION AND PRAYER
    For the reasons discussed above, the Board respectfully requests that this
    Court reverse that part of the district court’s judgment which invalidates Board Rules
    573.72 and 573.80(2).3
    Dated: July 8, 2015.
    2
    All vets are clearly designated to provide care to animals under any common definition of
    “designated,” “caretaker,” or “designated caretaker.”
    3
    The Board also requests this Court to affirm that the part of the district court’s final judgment
    which grants the Board’s plea to the jurisdiction. CR 855; Exhibit 1. That matter will be briefed
    by the parties as part of Dr. Jefferson’s cross-appeal.
    10
    Respectfully submitted,
    KEN PAXTON
    Attorney General of Texas
    CHARLES E. ROY
    First Assistant Attorney General
    JAMES E. DAVIS
    Deputy Attorney General for Civil Litigation
    DAVID A. TALBOT, JR.
    Division Chief, Administrative Law Division
    /s/ Ted A. Ross
    Ted A. Ross
    Assistant Attorney General
    State Bar No. 24008890
    OFFICE OF THE TEXAS ATTORNEY GENERAL
    ADMINISTRATIVE LAW DIVISION
    P. O. Box 12548
    Austin, Texas 78711-2548
    Telephone: (512) 475-4191
    Facsimile: (512) 457-4674
    Email: ted.ross@texasattorneygeneral.gov
    Attorneys for Appellants/Cross-Appellees Texas
    State Board of Veterinary Medical Examiners, and
    Nicole Oria
    11
    CERTIFICATE OF COMPLIANCE
    I hereby certify compliance with Texas Rules of Appellate Procedure 9 and
    that there are 1,999 words in this document. Microsoft Word was used to prepare
    this filing and calculate the number of words in it.
    /s/ Ted A. Ross
    Ted A. Ross
    Assistant Attorney General
    CERTIFICATE OF SERVICE
    I hereby certify that, in compliance with Rule 9.5 of the Texas Rules of
    Appellate Procedure, a true and correct copy of the above and foregoing document
    has been served on the following on this the 8th day of July 2015:
    David F. Brown                          Via: Electronic Service and e-mail
    dbrown@ebblaw.com
    David P. Blanke
    dblanke@ebblaw.com
    Zeke DeRose III
    zderose@ebblaw.com
    111 Congress Avenue, 28th Floor
    Austin, Texas 78701
    Ryan Clinton
    rdclinton@dgclaw.com
    Davis, Gerald & Cremer, P.C.
    111 Congress Avenue, Suite 1660
    Austin, Texas 78701
    Attorneys for Ellen Jefferson, D.V.M.
    /s/ Ted A. Ross
    Ted A. Ross
    Assistant Attorney General
    12
    EXHIBIT 1
    CAUSE NO. D-1-GN-14-000287
    ELLEN JEFFERSON, D.V.M.,                                 §      IN THE DISTRICT COLTRT
    §
    Plainlzjf;                 §
    §
    v.                                                       §
    §       127th JUDICL\L DISTRICT
    TEXAS STATE BOARD OF VETERIN;\RY                         §
    J\fEDICAL EX\J\fINERS and NICOLE                         §
    ORL\, in her official capacity as Executive
    Director,
    Defendants.                        TR,\ VIS COUNTY, TJ~XAS
    FINAL JUDGMENT
    On August 4, 2014, Plaintiff, Ellen Jefferson, D.V.M. (Dr. Jefferson), and Defendants, the
    Texas State Board of Veterinary Medical Examiners (l'BVl\fE), and Nicole Oria, in her official
    capacity as Executive Director of TBVME, appeared with their attorneys of record and proceeded
    to trial before the Court. The Court also heard argument on Defendants' Plea to the Jurisdiction on
    that date. After considering the pleadings, motions, stipulations, the requests for judicial notice, the
    evidence presented at trial, and the arguments of counsel, the Court renders final judgment as
    follows:
    The Court grants Defendants' Plea to the Jurisdiction in part and dismisses Dr. Jefferson's
    claims under the Uniform Declaratory Judgment :\ct without prejudice. Dr. Jefferson must exhaust
    her administrati,-e remedies to challenge TBVl\fE's factual findings and allegations and the
    application of TBVME's rules to those findings and allegations.              See Tex. Occ. Code Ann. §
    801.004(1 ).
    The Court finds that it does have jurisdiction under Section 2001.038 of the Administrative
    Procedure Act (":\P:\") regarding certain rule challenges that Dr. Jefferson asserts. The Court finds
    that TBVME's reliance on Section 2001.038(e) docs not bar the Court's consideration of the
    C\l':·:I·:   ~(J D-l-C~-1+-ll00287
    Page l nC ?1
    administrative rules at the core of the disputes presented in this suit. Cnder jurisdiction provided by
    Section 2001.038, the Court finds that the following rules arc contrary to Section 801.004(1):
    1)            Board Rule 573.72, as written, \-iolates the right of a non-profit or shelter to
    employ a licensed veterinarian and seek full protection of the ownership exemption for the
    treatment of their animals for which the shelter is the owner. See 22 Tex. Admin. Code§ 573.72. If a
    veterinarian is employed by a non-profit or shelter, their handling of the care of the animals so
    owned by their employer will not be generally cm-ered by the ;\ct.
    2).           Board Rule 573.80(2) also fails to comply \vith the mvnership exemption,
    smce it creates a presumption that a person intends to evade the Act and then provides an
    impermissibly limited exception that requires the care of a veterinarian to prevent such violation.
    See 22 Tex. Admin. Code§ 573.80(2).
    The Court, however, does find that the mvncrship exception docs not allow a veterinarian to
    ignore other laws outside the Act that relate to his or her \·eterinary license, including all laws
    relating to the handling of prescription drugs (dangerous or controlled). Because it is the veterinary
    license, not the ownership of the animals, that allows a veterinarian to take certain actions, those
    actions may be m-ersecn by TBVME to ensure compliance. Such im-estigations and administrative
    actions are not categorically banned by the ownership exemption and the Court will not prevent
    TBVME from exercising its administrative powers to investigate such complaints. In exercising its
    quasi-judicial authority in onrseeing the administrative process, however, TBVi\IE must do so in
    accordance with the boundaries of the ,\ct, and with proper and due regard for the ownership
    exemption, as mandated by the Texas J ~egislaturc.
    IT IS THEREFORE ORDERED, ADJl-DGED, :\ND DECREED that the Plea to the
    Jurisdiction is granted in part, pursuant to Section 2001.038 of the Administratin Procedure Act;
    that Board Rules 573.72 and 573.80(2) are found to be contrary to Section 801.004(1) of the
    C\USL J\:O D-I-(;'.'.i-14-lllJIJ287
    Page 2 of~'>
    Veterinarv Practice Act and therefore invalid; and this matter shall be remanded to the TBVME for
    J
    further actions consistent with this order.
    All costs of court are assessed against the party who incurred them. All relief not expressly
    granted herein is denied. This judgment finally disposes of all parties and all claims in the entire suit
    and is appealable.
    Signed this             day of NoYember, 2014.
    Gisela D. Triana
    200'h District Court
    Travis County, Texas
    C\l'SI·: .'\() D-l-(;.'\-14-1lil0287
    P11gc 3 of 3