A new Texas law dramatically lowers the threshold for felony charges in organized retail theft—and most retail owners haven't heard about it yet.
Most Texas retail owners know organized retail theft is a problem. What many don't know: starting September 1, 2025, a single coordinated theft ring involving items worth just $750 or more can now trigger felony charges under a provision buried in Senate Bill 1300.
That's a significant shift. Before SB1300, organized retail theft at that dollar amount was prosecuted as a Class A misdemeanor. Now it jumps directly to a state jail felony—a higher criminal tier with stiffer penalties.
SB1300 relates broadly to the prosecution and punishment of organized retail theft. The key provision—found in Section 5, which amends Section 31.16(d)(3) of the Texas Penal Code—rewrites the penalty structure for this specific offense.
The practical effect: if law enforcement or prosecutors can show that two or more people worked together to steal merchandise totaling $750 or more, felony charges are now on the table. That threshold used to sit much higher.
For retail owners and loss-prevention teams, this is a deterrent tool. Organized retail theft—sometimes called "ORT"—typically involves coordinated, repeat incidents by the same individuals or groups. A felony charge is a stronger lever for prosecution and a sharper warning to would-be thieves.
For employees or managers accused of being part of a theft ring, the stakes are also higher. Even if the total stolen value seems modest, a felony conviction carries collateral consequences: loss of professional licenses, employment barriers, and a permanent criminal record.
The law applies only to offenses committed on or after September 1, 2025. Thefts that occurred before that date are not affected, even if prosecution happens later.
Retail owners should review their loss-prevention and employee-conduct policies before the law takes effect. If your business has experienced organized theft, document it carefully. If you suspect internal theft rings, consult with law enforcement or a business attorney about how the new threshold changes your options.
Training your team on what constitutes organized retail theft—and making clear that coordinated theft now carries felony exposure—may also serve as a preventive measure.
The law is technical and its implications vary by situation. A detailed, business-focused summary of SB1300 and how it applies to Texas retail is available through your local trade association or business counsel.