TX HB4777

Establishes liability framework for kennels and animal shelters when domestic animals (dogs, cats, and other non-farm/non-livestock animals) are lost, injured, or die while in their care due to negligent, grossly negligent, or intentional acts

Creates tiered liability standards: for-profit kennels face liability for contributing negligence, nonprofit kennels require proximate cause, and animal shelters require clear and convincing evidence of gross negligence or intentional conduct where the pet owner was not at fault

Allows recovery of market value damages (minimum $5,000 for lost/deceased animals), veterinary expenses, pet owner medical expenses, and noneconomic damages including mental anguish, loss of animal companionship, and bystander damages

Permits exemplary damages up to $200,000 or two times actual damages for gross negligence or intentional conduct, with statutory damages of $10,000 available when fires occur without operational alarms or when 10+ animals are lost within 24 hours

Provides enhanced damages for service animals, includes a rebuttable presumption for mental anguish damages, and allows prevailing claimants to recover attorney's fees when suing for-profit kennels; all dollar amounts increase 5% annually starting September 1, 2025