By: Pickett, Solomons, Orr, Deshotel H.B. No. 3502
A BILL TO BE ENTITLED
AN ACT
relating to waiver of certain statutory rights in connection with a
purchase of or loan secured by real property.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 5.008(b), Property Code, as amended by
Chapters 448 (H.B. 271), 1051 (H.B. 2118), and 1256 (H.B. 2819),
Acts of the 80th Legislature, Regular Session, 2007, is reenacted
and amended to read as follows:
(b) The notice must be executed and must, at a minimum, read
substantially similar to the following:
SELLER'S DISCLOSURE NOTICE
CONCERNING THE PROPERTY AT___________________________________
(Street Address and City)
THIS NOTICE IS A DISCLOSURE OF SELLER'S KNOWLEDGE
OF THE CONDITION OF THE PROPERTY AS OF THE DATE SIGNED
BY SELLER AND IS NOT A SUBSTITUTE FOR ANY INSPECTIONS
OR WARRANTIES THE PURCHASER MAY WISH TO OBTAIN. IT IS
NOT A WARRANTY OF ANY KIND BY SELLER OR SELLER'S
AGENTS.
Seller __ is __ is not occupying the Property.
If unoccupied, how long since Seller has occupied the Property?
________________________________________________________________
1. The Property has the items checked below:
Write Yes (Y), No (N), or Unknown (U).
__ Range __ Oven __ Microwave __ Range __ Oven __ Microwave
__ Range __ Oven __ Microwave
__ Dishwasher __ Trash Compactor __ Disposal __ Dishwasher __ Trash Compactor __ Disposal
__ Dishwasher __ Trash Compactor __ Disposal
__ Washer/Dryer __ Window __ Rain Gutters __ Washer/Dryer __ Window __ Rain Gutters
__ Washer/Dryer __ Window __ Rain Gutters
Hookups Screens Hookups Screens
Hookups Screens
__ Security __ Fire Detection __ Intercom __ Security __ Fire Detection __ Intercom
__ Security __ Fire Detection __ Intercom
System Equipment System System Equipment System
System Equipment System
__ Smoke Detector __ Smoke Detector
__ Smoke Detector
__ Smoke Detector - __ Smoke Detector -
__ Smoke Detector -
Hearing Impaired Hearing Impaired
Hearing Impaired
__ Carbon Monoxide __ Carbon Monoxide
__ Carbon Monoxide
Alarm Alarm
Alarm
__ Emergency Escape __ Emergency Escape
__ Emergency Escape
Ladder(s) Ladder(s)
Ladder(s)
__ TV Antenna __ Cable TV __ Satellite __ TV Antenna __ Cable TV __ Satellite
__ TV Antenna __ Cable TV __ Satellite
Wiring Dish Wiring Dish
Wiring Dish
__ Ceiling Fan(s) __ Attic Fan(s) __ Exhaust __ Ceiling Fan(s) __ Attic Fan(s) __ Exhaust
__ Ceiling Fan(s) __ Attic Fan(s) __ Exhaust
Fan(s) Fan(s)
Fan(s)
__ Central A/C __ Central Heating __ Wall/Window __ Central A/C __ Central Heating __ Wall/Window
__ Central A/C __ Central Heating __ Wall/Window
Air Air
Air
Conditioning Conditioning
Conditioning
__ Plumbing System __ Septic System __ Public Sewer __ Plumbing System __ Septic System __ Public Sewer
__ Plumbing System __ Septic System __ Public Sewer
System System
System
__ Patio/Decking __ Outdoor Grill __ Fences __ Patio/Decking __ Outdoor Grill __ Fences
__ Patio/Decking __ Outdoor Grill __ Fences
__ Pool __ Sauna __ Spa __ Pool __ Sauna __ Spa
__ Pool __ Sauna __ Spa
__ Hot Tub __ Hot Tub
__ Hot Tub
__ Pool Equipment __ Pool Heater __ Automatic Lawn __ Pool Equipment __ Pool Heater __ Automatic Lawn
__ Pool Equipment __ Pool Heater __ Automatic Lawn
Sprinkler Sprinkler
Sprinkler
System System
System
__ Fireplace(s) & __ Fireplace(s) & __ Fireplace(s) & __ Fireplace(s) &
__ Fireplace(s) & __ Fireplace(s) &
Chimney Chimney Chimney Chimney
Chimney Chimney
(Woodburning) (Mock) (Woodburning) (Mock)
(Woodburning) (Mock)
__ Gas Lines __ Gas Fixtures __ Gas Lines __ Gas Fixtures
__ Gas Lines __ Gas Fixtures
(Nat./LP) (Nat./LP)
(Nat./LP)
Garage: __ Attached __ Not Attached __ Carport Garage: __ Attached __ Not Attached __ Carport
Garage: __ Attached __ Not Attached __ Carport
Garage Door Opener(s): __ Electronic __ Control(s) Garage Door Opener(s): __ Electronic __ Control(s)
Garage Door Opener(s): __ Electronic __ Control(s)
Water Heater: __ Gas __ Electric Water Heater: __ Gas __ Electric
Water Heater: __ Gas __ Electric
Water Supply: __ City __ Well __ MUD __ Co-op Water Supply: __ City __ Well __ MUD __ Co-op
Water Supply: __ City __ Well __ MUD __ Co-op
Roof Type: ________________________________Age: _____(approx)
Are you (Seller) aware of any of the above items that are not in
working condition, that have known defects, or that are in need of
repair? __ Yes __ No __ Unknown.
If yes, then describe. (Attach additional sheets if necessary):
________________________________________________________________
________________________________________________________________
2. Does the property have working smoke detectors installed in
accordance with the smoke detector requirements of Chapter 766,
Health and Safety Code? __Yes __No __Unknown.
If the answer to the question above is no or unknown, explain.
(Attach additional sheets if necessary): _________________________
________________________________________________________________
________________________________________________________________
3. Are you (Seller) aware of any known defects/malfunctions in any
of the following?
Write Yes (Y) if you are aware, write No (N) if you are not aware.
__ Interior Walls __ Ceilings __ Floors __ Interior Walls __ Ceilings __ Floors
__ Interior Walls __ Ceilings __ Floors
__ Exterior Walls __ Doors __ Windows __ Exterior Walls __ Doors __ Windows
__ Exterior Walls __ Doors __ Windows
__ Roof __ Foundation/ __ Basement __ Roof __ Foundation/ __ Basement
__ Roof __ Foundation/ __ Basement
Slab(s) Slab(s)
Slab(s)
__ Walls/Fences __ Driveways __ Sidewalks __ Walls/Fences __ Driveways __ Sidewalks
__ Walls/Fences __ Driveways __ Sidewalks
__ Plumbing/Sewers/ __ Electrical __ Lighting __ Plumbing/Sewers/ __ Electrical __ Lighting
__ Plumbing/Sewers/ __ Electrical __ Lighting
Septics Systems Fixtures Septics Systems Fixtures
Septics Systems Fixtures
__ Other Structural Components (Describe):____________________
________________________________________________________________
________________________________________________________________
If the answer to any of the above is yes, explain. (Attach
additional sheets if necessary):_____________________________
________________________________________________________________
________________________________________________________________
4. Are you (Seller) aware of any of the following conditions?
Write Yes (Y) if you are aware, write No (N) if you are not aware.
__ Active Termites __ Previous Structural __ Active Termites __ Previous Structural
__ Active Termites __ Previous Structural
(includes or Roof Repair (includes or Roof Repair
(includes or Roof Repair
wood-destroying insects) wood-destroying insects)
wood-destroying insects)
__ Termite or Wood Rot Damage __ Hazardous or Toxic Waste __ Termite or Wood Rot Damage __ Hazardous or Toxic Waste
__ Termite or Wood Rot Damage __ Hazardous or Toxic Waste
Needing Repair Needing Repair
Needing Repair
__ Previous Termite Damage __ Asbestos Components __ Previous Termite Damage __ Asbestos Components
__ Previous Termite Damage __ Asbestos Components
__ Previous Termite __ Urea formaldehyde __ Previous Termite __ Urea formaldehyde
__ Previous Termite __ Urea formaldehyde
Treatment Insulation Treatment Insulation
Treatment Insulation
__ Previous Flooding __ Radon Gas __ Previous Flooding __ Radon Gas
__ Previous Flooding __ Radon Gas
__ Improper Drainage __ Lead Based Paint __ Improper Drainage __ Lead Based Paint
__ Improper Drainage __ Lead Based Paint
__ Water Penetration __ Aluminum Wiring __ Water Penetration __ Aluminum Wiring
__ Water Penetration __ Aluminum Wiring
__ Located in 100-Year __ Previous Fires __ Located in 100-Year __ Previous Fires
__ Located in 100-Year __ Previous Fires
Floodplain Floodplain
Floodplain
__ Present Flood Insurance __ Unplatted Easements __ Present Flood Insurance __ Unplatted Easements
__ Present Flood Insurance __ Unplatted Easements
Coverage Coverage
Coverage
__ Landfill, Settling, Soil __ Subsurface __ Landfill, Settling, Soil __ Subsurface
__ Landfill, Settling, Soil __ Subsurface
Movement, Fault Lines Structure or Pits Movement, Fault Lines Structure or Pits
Movement, Fault Lines Structure or Pits
__ Previous Use of __ Previous Use of
__ Previous Use of
Premises for Premises for
Premises for
Manufacture of Manufacture of
Manufacture of
Methamphetamine Methamphetamine
Methamphetamine
If the answer to any of the above is yes, explain. (Attach
additional sheets if necessary):_____________________________
________________________________________________________________
________________________________________________________________
5. Are you (Seller) aware of any item, equipment, or system in or
on the property that is in need of repair? __ Yes (if you are
aware) __ No (if you are not aware). If yes, explain (attach
additional sheets as necessary)._________________________________
6. Are you (Seller) aware of any of the following?
Write Yes (Y) if you aware, write No (N) if you are not aware.
__ Room additions, structural modifications, or other alterations or repairs made without necessary permits or not in compliance with building codes in effect at that time. __ Room additions, structural modifications, or other alterations or repairs made without necessary permits or not in compliance with building codes in effect at that time.
__ Room additions, structural modifications, or other alterations or repairs made without necessary permits or not in compliance with building codes in effect at that time.
__ Homeowners' Association or maintenance fees or assessments. __ Homeowners' Association or maintenance fees or assessments.
__ Homeowners' Association or maintenance fees or assessments.
__ Any "common area" (facilities such as pools, tennis courts, walkways, or other areas) co-owned in undivided interest with others. __ Any "common area" (facilities such as pools, tennis courts, walkways, or other areas) co-owned in undivided interest with others.
__ Any "common area" (facilities such as pools, tennis courts, walkways, or other areas) co-owned in undivided interest with others.
__ Any notices of violations of deed restrictions or governmental ordinances affecting the condition or use of the Property. __ Any notices of violations of deed restrictions or governmental ordinances affecting the condition or use of the Property.
__ Any notices of violations of deed restrictions or governmental ordinances affecting the condition or use of the Property.
__ Any lawsuits directly or indirectly affecting the Property. __ Any lawsuits directly or indirectly affecting the Property.
__ Any lawsuits directly or indirectly affecting the Property.
__ Any condition on the Property which materially affects the physical health or safety of an individual. __ Any condition on the Property which materially affects the physical health or safety of an individual.
__ Any condition on the Property which materially affects the physical health or safety of an individual.
If the answer to any of the above is yes, explain. (Attach
additional sheets if necessary):_____________________________
________________________________________________________________
________________________________________________________________
7 [6]. If the property is located in a coastal area that is seaward
of the Gulf Intracoastal Waterway or within 1,000 feet of the mean
high tide bordering the Gulf of Mexico, the property may be subject
to the Open Beaches Act or the Dune Protection Act (Chapter 61 or
63, Natural Resources Code, respectively) and a beachfront
construction certificate or dune protection permit may be required
for repairs or improvements. Contact the local government with
ordinance authority over construction adjacent to public beaches
for more information.
_______________________________________________________
Date Signature of Seller
The undersigned purchaser hereby acknowledges receipt of the
foregoing notice [and acknowledges the property complies with the
smoke detector requirements of Chapter 766, Health and Safety Code,
or, if the property does not comply with the smoke detector
requirements of Chapter 766, the buyer waives the buyer's rights to
have smoke detectors installed in compliance with Chapter 766].
_______________________________________________________
Date Signature of Purchaser
SECTION 2. Chapter 51, Property Code, is amended by adding
Section 51.0051 to read as follows:
Sec. 51.0051. CERTAIN WAIVERS PROHIBITED. A person's right
to bring an action for a determination of a property's fair market
value under Section 51.003, 51.004, or 51.005 may not be waived by
contract. A contract provision that violates this section is void.
SECTION 3. The change in law made by this Act to Section
5.008, Property Code, applies only to a notice executed on or after
the effective date of this Act. A notice executed before the
effective date of this Act is governed by the law in effect
immediately before that date, and that law is continued in effect
for that purpose.
SECTION 4. Section 51.0051, Property Code, as added by this
Act, applies only to a contract entered into on or after the
effective date of this Act. A contract entered into before the
effective date of this Act is governed by the law in effect
immediately before the effective date of this Act, and that law is
continued in effect for that purpose.
SECTION 5. This Act takes effect January 1, 2010.
__ Range __ Oven __ Microwave
__ Dishwasher __ Trash Compactor __ Disposal
__ Washer/Dryer __ Window __ Rain Gutters
Hookups Screens
__ Security __ Fire Detection __ Intercom
System Equipment System
__ Smoke Detector
__ Smoke Detector -
Hearing Impaired
__ Carbon Monoxide
Alarm
__ Emergency Escape
Ladder(s)
__ TV Antenna __ Cable TV __ Satellite
Wiring Dish
__ Ceiling Fan(s) __ Attic Fan(s) __ Exhaust
Fan(s)
__ Central A/C __ Central Heating __ Wall/Window
Air
Conditioning
__ Plumbing System __ Septic System __ Public Sewer
System
__ Patio/Decking __ Outdoor Grill __ Fences
__ Pool __ Sauna __ Spa
__ Hot Tub
__ Pool Equipment __ Pool Heater __ Automatic Lawn
Sprinkler
System
__ Fireplace(s) & __ Fireplace(s) &
Chimney Chimney
(Woodburning) (Mock)
__ Gas Lines __ Gas Fixtures
(Nat./LP)
Garage: __ Attached __ Not Attached __ Carport
Garage Door Opener(s): __ Electronic __ Control(s)
Water Heater: __ Gas __ Electric
Water Supply: __ City __ Well __ MUD __ Co-op
__ Interior Walls __ Ceilings __ Floors
__ Exterior Walls __ Doors __ Windows
__ Roof __ Foundation/ __ Basement
Slab(s)
__ Walls/Fences __ Driveways __ Sidewalks
__ Plumbing/Sewers/ __ Electrical __ Lighting
Septics Systems Fixtures
__ Active Termites __ Previous Structural
(includes or Roof Repair
wood-destroying insects)
__ Termite or Wood Rot Damage __ Hazardous or Toxic Waste
Needing Repair
__ Previous Termite Damage __ Asbestos Components
__ Previous Termite __ Urea formaldehyde
Treatment Insulation
__ Previous Flooding __ Radon Gas
__ Improper Drainage __ Lead Based Paint
__ Water Penetration __ Aluminum Wiring
__ Located in 100-Year __ Previous Fires
Floodplain
__ Present Flood Insurance __ Unplatted Easements
Coverage
__ Landfill, Settling, Soil __ Subsurface
Movement, Fault Lines Structure or Pits
__ Previous Use of
Premises for
Manufacture of
Methamphetamine
__ Room additions, structural modifications, or other alterations or repairs made without necessary permits or not in compliance with building codes in effect at that time.
__ Homeowners' Association or maintenance fees or assessments.
__ Any "common area" (facilities such as pools, tennis courts, walkways, or other areas) co-owned in undivided interest with others.
__ Any notices of violations of deed restrictions or governmental ordinances affecting the condition or use of the Property.
__ Any lawsuits directly or indirectly affecting the Property.
__ Any condition on the Property which materially affects the physical health or safety of an individual.