Texas 2009 - 81st Regular

Texas House Bill HB396 Compare Versions

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Old	New	Differences
1	1	H.B. No. 396
2	2
3	3
4	4	AN ACT
5	5	relating to expunction of a notice of lis pendens.
6	6	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
7	7	SECTION 1. Section 12.007, Property Code, is amended by
8	8	adding Subsection (d) to read as follows:
9	9	(d) Not later than the third day after the date a person
10	10	files a notice for record under this section, the person must serve
11	11	a copy of the notice on each party to the action who has an interest
12	12	in the real property affected by the notice.
13	13	SECTION 2. Chapter 12, Property Code, is amended by adding
14	14	Section 12.0071 to read as follows:
15	15	Sec. 12.0071. MOTION TO EXPUNGE LIS PENDENS. (a) A party to
16	16	an action in connection with which a notice of lis pendens has been
17	17	filed may:
18	18	(1) apply to the court to expunge the notice; and
19	19	(2) file evidence, including declarations, with the
20	20	motion to expunge the notice.
21	21	(b) The court may:
22	22	(1) permit evidence on the motion to be received in the
23	23	form of oral testimony; and
24	24	(2) make any orders the court considers just to
25	25	provide for discovery by a party affected by the motion.
26	26	(c) The court shall order the notice of lis pendens expunged
27	27	if the court determines that:
28	28	(1) the pleading on which the notice is based does not
29	29	contain a real property claim;
30	30	(2) the claimant fails to establish by a preponderance
31	31	of the evidence the probable validity of the real property claim; or
32	32	(3) the person who filed the notice for record did not
33	33	serve a copy of the notice on each party entitled to a copy under
34	34	Section 12.007(d).
35	35	(d) Notice of a motion to expunge under Subsection (a) must
36	36	be served on each affected party on or before the 20th day before
37	37	the date of the hearing on the motion.
38	38	(e) The court shall rule on the motion for expunction based
39	39	on the affidavits and counteraffidavits on file and on any other
40	40	proof the court allows.
41	41	(f) After a certified copy of an order expunging a notice of
42	42	lis pendens has been recorded, the notice of lis pendens and any
43	43	information derived from the notice:
44	44	(1) does not:
45	45	(A) constitute constructive or actual notice of
46	46	any matter contained in the notice or of any matter relating to the
47	47	proceeding;
48	48	(B) create any duty of inquiry in a person with
49	49	respect to the property described in the notice; or
50	50	(C) affect the validity of a conveyance to a
51	51	purchaser for value or of a mortgage to a lender for value; and
52	52	(2) is not enforceable against a purchaser or lender
53	53	described by Subdivision (1)(C), regardless of whether the
54	54	purchaser or lender knew of the lis pendens action.
55	55	(g) The court in its discretion may require that the party
56	56	prevailing in the expunction hearing submit an undertaking to the
57	57	court in an amount determined by the court.
58	58	SECTION 3. The change in law made by this Act applies only
59	59	to a lis pendens filed on or after the effective date of this Act. A
60	60	lis pendens filed before the effective date of this Act is governed
61	61	by the law in effect immediately before that date, and that law is
62	62	continued in effect for that purpose.
63	63	SECTION 4. This Act takes effect September 1, 2009.
64	64	______________________________ ______________________________
65	65	President of the Senate Speaker of the House
66	66	I certify that H.B. No. 396 was passed by the House on April
67	67	9, 2009, by the following vote: Yeas 148, Nays 0, 1 present, not
68	68	voting.
69	69	______________________________
70	70	Chief Clerk of the House
71	71	I certify that H.B. No. 396 was passed by the Senate on May
72	72	21, 2009, by the following vote: Yeas 31, Nays 0.
73	73	______________________________
74	74	Secretary of the Senate
75	75	APPROVED: _____________________
76	76	Date
77	77	_____________________
78	78	Governor