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§ 74.503.Court Order for Periodic Payments

Title 4. Liability in Tort · Chapter 74. Medical Liability · Subchapter K. Payment for Future Losses · Last amended 2003 · Last verified August 29, 2026

In one sentenceSection 74.503 makes periodic payment of medical, health care, and custodial services mandatory on request of either side, discretionary for other future damages, and requires the judgment to specify recipient, amount, interval, and duration.

Full Text of § 74.503

Text sizeJump to: (a) (b) (c) (d)

(a)At the request of a defendant physician or health care provider or claimant, the court shall order that medical, health care, or custodial services awarded in a health care liability claim be paid in whole or in part in periodic payments rather than by a lump-sum payment.
(b)At the request of a defendant physician or health care provider or claimant, the court may order that future damages other than medical, health care, or custodial services awarded in a health care liability claim be paid in whole or in part in periodic payments rather than by a lump sum payment.
(c)The court shall make a specific finding of the dollar amount of periodic payments that will compensate the claimant for the future damages.
(d)The court shall specify in its judgment ordering the payment of future damages by periodic payments the:
(1)recipient of the payments;
(2)dollar amount of the payments;
(3)interval between payments; and
(4)number of payments or the period of time over which payments must be made.
End

Plain-English Summary

The ordering provision, and the difference between its two subsections is the whole design.

At the request of a defendant or a claimant, the court shall order that medical, health care, or custodial services awarded be paid in whole or in part in periodic payments rather than by lump sum.

At the request of either, the court may order the same for future damages other than those services.

Shall for care costs, may for everything else. The reason is that future care is an ongoing need arising as it arises, and periodic payment matches the money to the need. Pain and suffering or lost earnings have no such schedule.

Either party may request, which is easy to overlook. Periodic payments are usually thought of as a defendant's protection against a large lump sum, but a claimant may want them too — a structured stream cannot be dissipated, and it lasts as long as the need.

Subsection (c): the court shall make a specific finding of the dollar amount of periodic payments that will compensate the claimant for the future damages.

Subsection (d) requires four specifics in the judgment: the recipient, the dollar amount, the interval between payments, and the number of payments or the period over which they must be made.

An obligation running for decades must be certain on the face of the judgment, since the parties will be administering it long after the case is closed.

Frequently Asked Questions

Can a malpractice award be paid over time in Texas?

Yes. On request of either the defendant or the claimant the court shall order periodic payment of medical, health care, and custodial services, and may order it for other future damages.

Can the plaintiff ask for periodic payments?

Yes. Either party may request them.

What must the judgment say?

The recipient, the dollar amount of the payments, the interval between them, and the number of payments or the period over which they must be made.

Amendment History

  • Added by Acts 2003, 78th Leg., ch. 204, Sec. 10.01, eff. Sept. 1, 2003.
Source & verification. Section text is reproduced verbatim from Texas Legislature Online (statutes.capitol.texas.gov). Enacted by the Texas Legislature. Current through May 14, 2026. Last verified August 29, 2026. · Official source