Theft of Service in Texas | Houston Theft of Service Attorney

Theft of service covers getting services, leases, or rentals without paying for them — from walking out on a bill to failing to return rented equipment. It is graded by value like ordinary theft, so it can range from a Class C misdemeanor to a first-degree felony. Because the crime turns on intent to avoid payment, many of these cases are really civil disputes that were over-charged as crimes.

If you or a loved one has been charged with theft of service in Houston, Harris County, or Galveston, Brian Foley and Luis Baez — former prosecutors — can help.

What the Law Covers

Under Texas Penal Code § 31.04, theft of service occurs when a person, with intent to avoid payment, intentionally or knowingly secures the performance of a service by deception, threat, or false token; or, having control over property under a rental or lease agreement, fails to return it or pay for it as agreed. The State must prove intent to avoid payment — the element that separates a crime from a contract dispute.

Penalty Range

Value of service/property	Offense Level	Punishment
Less than $100	Class C Misdemeanor	Fine up to $500
$100 to less than $750	Class B Misdemeanor	Up to 180 days jail; up to $2,000 fine
$750 to less than $2,500	Class A Misdemeanor	Up to 1 year jail; up to $4,000 fine
$2,500 to less than $30,000	State Jail Felony	180 days – 2 years state jail; up to $10,000 fine
$30,000 to less than $150,000	Third-Degree Felony	2 – 10 years prison; up to $10,000 fine
$150,000 to less than $300,000	Second-Degree Felony	2 – 20 years prison; up to $10,000 fine
$300,000 or more	First-Degree Felony	5 – 99 years or life; up to $10,000 fine

How These Cases Are Defended

No intent to avoid payment. A genuine billing dispute, a good-faith belief that you paid or owed nothing, or a misunderstanding about terms defeats the required intent.
It's a civil matter. Many theft-of-service allegations belong in civil court, not criminal court; we press that distinction.
Value challenges. The value of the service or property sets the offense level; disputing it can drop the case to a lower grade.
Restitution and dismissal. Paying or resolving the underlying obligation frequently leads to dismissal, especially for first offenders, followed by expunction.
Deception element. For deception-based cases, we test whether any false representation actually occurred.

Collateral Consequences

A theft conviction is a crime of moral turpitude that can harm employment, licensing, immigration status, and credibility. Because so many of these cases are really disputes over money, resolving them without a conviction is usually achievable.

Related Charges

Why HCDA

Brian Foley is Board Certified in Criminal Law, and both he and Luis Baez are former prosecutors. If you or a loved one has been charged with theft of service in Houston, Harris County, or Galveston, contact Houston Criminal Defense Attorneys PLLC for a free, confidential consultation. Call or text (713) 703-1718.

Frequently Asked Questions

What is theft of service in Texas?

Under Texas Penal Code § 31.04, theft of service is intentionally securing the performance of a service — or the use of property, a lease, or a rental — by deception, threat, or false token, or failing to return leased or rented property or pay for it as agreed, with intent to avoid payment. Common examples include skipping out on a bill, not returning rental equipment, or using deception to obtain services.

How is theft of service graded?

By the value of the service or property: less than $100 is a Class C misdemeanor; $100 to less than $750 is a Class B; $750 to less than $2,500 is a Class A; $2,500 to less than $30,000 is a state jail felony; $30,000 to less than $150,000 is a third-degree felony; $150,000 to less than $300,000 is a second-degree felony; and $300,000 or more is a first-degree felony.

Is failing to return rental property theft of service?

It can be. If you fail to return leased or rented property by the agreed date, or fail to pay, with intent to avoid payment, that can be charged as theft of service. Texas law even allows the State to use certain notices and the failure to return property as evidence of intent — which is why documenting a genuine dispute or a good-faith reason is so important.

Is a payment dispute a defense?

Often, yes. Theft of service requires intent to avoid payment. A genuine billing dispute, a good-faith belief that you had paid or were not obligated to, or a misunderstanding about terms all negate that intent and can defeat the charge or reduce it to a civil matter.

Can theft of service be dismissed or expunged?

Yes. Many theft-of-service cases are resolved through restitution, dismissal, or diversion, especially for first-time offenders, and a dismissed case can be expunged. We also challenge value, intent, and whether the dispute is truly criminal rather than civil.