Texas 2011 - 82nd Regular

Texas House Bill HB1860 Compare Versions

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11 82R20756 NC-F
22 By: Deshotel H.B. No. 1860
33 Substitute the following for H.B. No. 1860:
44 By: Quintanilla C.S.H.B. No. 1860
55
66
77 A BILL TO BE ENTITLED
88 AN ACT
99 relating to waiver of priority for removables in certain
1010 mechanic's, contractor's, or materialman's lien claims.
1111 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1212 SECTION 1. Section 53.001, Property Code, is amended by
1313 adding Subdivision (7-a) to read as follows:
1414 (7-a) "Removable" means material furnished that can be
1515 removed without material injury to the land, a preexisting
1616 improvement, or the material.
1717 SECTION 2. Subchapter F, Chapter 53, Property Code, is
1818 amended by adding Section 53.1231 to read as follows:
1919 Sec. 53.1231. WAIVER OF PRIORITY FOR REMOVABLES IN A LIEN
2020 CLAIM. (a) This section applies only to:
2121 (1) a property owner who acquired title to the
2222 property:
2323 (A) by foreclosing the person's lien on the
2424 property; or
2525 (B) by purchasing the property:
2626 (i) at a foreclosure sale; or
2727 (ii) from a person who foreclosed the
2828 person's lien on the property; or
2929 (2) a title company seeking to insure title for the
3030 sale of property by a person who acquired title to the property by
3131 foreclosing the person's lien on the property to a third-party
3232 buyer.
3333 (b) A property owner or title company to whom this section
3434 applies may send a written notice to a lien claimant who has filed
3535 an affidavit claiming a mechanic's lien on the property requesting
3636 the lien claimant to:
3737 (1) confirm in writing whether the lien claim includes
3838 a claim for a removable; and
3939 (2) provide invoices or other supporting documents for
4040 any material for which the lien claimant claims a priority
4141 mechanic's lien for a removable under Section 53.123(a).
4242 (c) The notice must be sent by personal delivery or
4343 certified mail, return receipt requested, to the lien claimant's
4444 address in the claimant's lien affidavit. If the claimant's address
4545 is not provided in the lien affidavit, notice must be sent to the
4646 lien claimant's last known address as determined through reasonable
4747 efforts by the person sending the notice.
4848 (d) The notice must contain:
4949 (1) the requestor's name, the company name, if
5050 applicable, and the domestic mailing address to which the lien
5151 claimant may send a response; and
5252 (2) the following statement conspicuously printed at
5353 the top of the page in boldface type that is at least 10-point and
5454 not smaller than the largest type used in the notice document:
5555 NOTICE: "YOU MUST PROVIDE TO THE PERSON NAMED BELOW NOT LATER
5656 THAN THE 30TH DAY AFTER THE DATE OF RECEIPT OF THIS NOTICE A WRITTEN
5757 CONFIRMATION OF YOUR CLAIM OF A PRIORITY MECHANIC'S LIEN FOR A
5858 REMOVABLE UNDER SECTION 53.123(a) OF THE TEXAS PROPERTY CODE,
5959 INCLUDING ANY INVOICE OR OTHER SUPPORTING DOCUMENT FOR THE
6060 REMOVABLE. FAILURE TO RESPOND TIMELY WILL RESULT IN THE WAIVER OF
6161 THE PRIORITY OF YOUR LIEN FOR THE REMOVABLE."
6262 (e) A property owner or title company may not send more than
6363 one notice under this section to a lien claimant claiming a
6464 mechanic's lien on a particular property.
6565 (f) If a lien claimant fails to provide a written
6666 confirmation of the mechanic's lien for a removable for which a
6767 mechanic's lien is claimed, as requested by the notice, on or before
6868 the 30th day after the date the notice is received by the lien
6969 claimant or the date delivery of the notice is reasonably
7070 attempted:
7171 (1) the preference under Section 53.123(a) of the
7272 claimant's mechanic's lien for the removable over any prior lien,
7373 encumbrance, or mortgage on the property is waived; and
7474 (2) the requestor may file an affidavit with the
7575 county clerk of the county in which the property is located that
7676 includes:
7777 (A) a statement that the notice was sent in
7878 compliance with this section and the lien claimant failed to
7979 respond; and
8080 (B) proof of delivery or, if delivery was
8181 reasonably attempted and failed, a statement of the means of
8282 attempted delivery and the reason for the failure of delivery.
8383 (g) The sufficiency of the invoice or other supporting
8484 document provided in response to the notice is not grounds for the
8585 waiver under Subsection (f)(1) of the lien claimant's priority
8686 under Section 53.123(a).
8787 (h) An affidavit filed under Subsection (f)(2) is prima
8888 facie evidence that the lien claimant waived any preference under
8989 Section 53.123(a) of the claimant's mechanic's lien for a removable
9090 over any prior lien, encumbrance, or mortgage on the property.
9191 (i) An invoice or other supporting document provided by a
9292 lien claimant in response to a notice under this section is
9393 considered a general statement of the existence and general nature
9494 of a removable and does not limit:
9595 (1) the evidence a claimant may present at a trial or
9696 other proceeding to establish the claimant's mechanic's lien for
9797 the removable; or
9898 (2) the specific quantity or nature of the removables
9999 that may be actually proven at a trial or other proceeding.
100100 SECTION 3. The change in law made by this Act applies only
101101 to a lien relating to a contract entered into on or after the
102102 effective date of this Act. A lien relating to a contract entered
103103 into before the effective date of this Act is governed by the law
104104 applicable to the lien immediately before the effective date of
105105 this Act, and that law is continued in effect for that purpose.
106106 SECTION 4. This Act takes effect January 1, 2012.