HB 734 – SB 866
FISCAL NOTE
Fiscal Review Committee
Tennessee General Assembly
March 28, 2025
Fiscal Analyst: Justin Billingsley | Email: justin.billingsley@capitol.tn.gov | Phone: 615-741-2564
HB 734 – SB 866
SUMMARY OF BILL: Specifies that there is no statute of repose applicable to certain
counterclaims, third party complaints, or cross-claims brought by plaintiffs related to the design,
planning, supervision, or construction of an improvement to real property.
FISCAL IMPACT:
NOT SIGNIFICANT
Assumptions:
• Pursuant to Tenn. Code Ann. § 28-3-202, all actions, arbitrations, or other binding dispute
resolution proceedings to recover damages for any deficiency in the design, planning,
supervision, observation of construction, or construction of an improvement to real
property, for injury to property, real or personal, arising out of any such deficiency, or for
injury to the person or for wrongful death arising out of any such deficiency, must be
brought against any person performing or furnishing the design, planning, supervision,
observation of construction, or construction of the improvement within four years after
substantial completion of an improvement.
• The proposed legislation creates an exception to the above provision for counterclaims,
third party complaints, and cross-claims as along as the original claim was not time barred
by an applicable statute of limitations when it was filed.
• This legislation is assumed to primarily involve private parties to a court action sought to
recover damages due to the aforementioned, perceived injuries; therefore, this legislation is
estimated to have no significant impact on state or local government.
• Removing the four-year statute of repose in certain instances is not expected to result in any
significant impact to the caseloads of the court system. Any fiscal impact to the court
system is estimated to be not significant.
CERTIFICATION:
The information contained herein is true and correct to the best of my knowledge.
Bojan Savic, Executive Director