1 | 1 | | 82R20756 NC-F |
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2 | 2 | | By: Deshotel H.B. No. 1860 |
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3 | 3 | | Substitute the following for H.B. No. 1860: |
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4 | 4 | | By: Quintanilla C.S.H.B. No. 1860 |
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5 | 5 | | |
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6 | 6 | | |
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7 | 7 | | A BILL TO BE ENTITLED |
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8 | 8 | | AN ACT |
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9 | 9 | | relating to waiver of priority for removables in certain |
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10 | 10 | | mechanic's, contractor's, or materialman's lien claims. |
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11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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12 | 12 | | SECTION 1. Section 53.001, Property Code, is amended by |
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13 | 13 | | adding Subdivision (7-a) to read as follows: |
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14 | 14 | | (7-a) "Removable" means material furnished that can be |
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15 | 15 | | removed without material injury to the land, a preexisting |
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16 | 16 | | improvement, or the material. |
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17 | 17 | | SECTION 2. Subchapter F, Chapter 53, Property Code, is |
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18 | 18 | | amended by adding Section 53.1231 to read as follows: |
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19 | 19 | | Sec. 53.1231. WAIVER OF PRIORITY FOR REMOVABLES IN A LIEN |
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20 | 20 | | CLAIM. (a) This section applies only to: |
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21 | 21 | | (1) a property owner who acquired title to the |
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22 | 22 | | property: |
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23 | 23 | | (A) by foreclosing the person's lien on the |
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24 | 24 | | property; or |
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25 | 25 | | (B) by purchasing the property: |
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26 | 26 | | (i) at a foreclosure sale; or |
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27 | 27 | | (ii) from a person who foreclosed the |
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28 | 28 | | person's lien on the property; or |
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29 | 29 | | (2) a title company seeking to insure title for the |
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30 | 30 | | sale of property by a person who acquired title to the property by |
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31 | 31 | | foreclosing the person's lien on the property to a third-party |
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32 | 32 | | buyer. |
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33 | 33 | | (b) A property owner or title company to whom this section |
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34 | 34 | | applies may send a written notice to a lien claimant who has filed |
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35 | 35 | | an affidavit claiming a mechanic's lien on the property requesting |
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36 | 36 | | the lien claimant to: |
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37 | 37 | | (1) confirm in writing whether the lien claim includes |
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38 | 38 | | a claim for a removable; and |
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39 | 39 | | (2) provide invoices or other supporting documents for |
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40 | 40 | | any material for which the lien claimant claims a priority |
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41 | 41 | | mechanic's lien for a removable under Section 53.123(a). |
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42 | 42 | | (c) The notice must be sent by personal delivery or |
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43 | 43 | | certified mail, return receipt requested, to the lien claimant's |
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44 | 44 | | address in the claimant's lien affidavit. If the claimant's address |
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45 | 45 | | is not provided in the lien affidavit, notice must be sent to the |
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46 | 46 | | lien claimant's last known address as determined through reasonable |
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47 | 47 | | efforts by the person sending the notice. |
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48 | 48 | | (d) The notice must contain: |
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49 | 49 | | (1) the requestor's name, the company name, if |
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50 | 50 | | applicable, and the domestic mailing address to which the lien |
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51 | 51 | | claimant may send a response; and |
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52 | 52 | | (2) the following statement conspicuously printed at |
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53 | 53 | | the top of the page in boldface type that is at least 10-point and |
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54 | 54 | | not smaller than the largest type used in the notice document: |
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55 | 55 | | NOTICE: "YOU MUST PROVIDE TO THE PERSON NAMED BELOW NOT LATER |
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56 | 56 | | THAN THE 30TH DAY AFTER THE DATE OF RECEIPT OF THIS NOTICE A WRITTEN |
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57 | 57 | | CONFIRMATION OF YOUR CLAIM OF A PRIORITY MECHANIC'S LIEN FOR A |
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58 | 58 | | REMOVABLE UNDER SECTION 53.123(a) OF THE TEXAS PROPERTY CODE, |
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59 | 59 | | INCLUDING ANY INVOICE OR OTHER SUPPORTING DOCUMENT FOR THE |
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60 | 60 | | REMOVABLE. FAILURE TO RESPOND TIMELY WILL RESULT IN THE WAIVER OF |
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61 | 61 | | THE PRIORITY OF YOUR LIEN FOR THE REMOVABLE." |
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62 | 62 | | (e) A property owner or title company may not send more than |
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63 | 63 | | one notice under this section to a lien claimant claiming a |
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64 | 64 | | mechanic's lien on a particular property. |
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65 | 65 | | (f) If a lien claimant fails to provide a written |
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66 | 66 | | confirmation of the mechanic's lien for a removable for which a |
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67 | 67 | | mechanic's lien is claimed, as requested by the notice, on or before |
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68 | 68 | | the 30th day after the date the notice is received by the lien |
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69 | 69 | | claimant or the date delivery of the notice is reasonably |
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70 | 70 | | attempted: |
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71 | 71 | | (1) the preference under Section 53.123(a) of the |
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72 | 72 | | claimant's mechanic's lien for the removable over any prior lien, |
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73 | 73 | | encumbrance, or mortgage on the property is waived; and |
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74 | 74 | | (2) the requestor may file an affidavit with the |
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75 | 75 | | county clerk of the county in which the property is located that |
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76 | 76 | | includes: |
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77 | 77 | | (A) a statement that the notice was sent in |
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78 | 78 | | compliance with this section and the lien claimant failed to |
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79 | 79 | | respond; and |
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80 | 80 | | (B) proof of delivery or, if delivery was |
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81 | 81 | | reasonably attempted and failed, a statement of the means of |
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82 | 82 | | attempted delivery and the reason for the failure of delivery. |
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83 | 83 | | (g) The sufficiency of the invoice or other supporting |
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84 | 84 | | document provided in response to the notice is not grounds for the |
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85 | 85 | | waiver under Subsection (f)(1) of the lien claimant's priority |
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86 | 86 | | under Section 53.123(a). |
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87 | 87 | | (h) An affidavit filed under Subsection (f)(2) is prima |
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88 | 88 | | facie evidence that the lien claimant waived any preference under |
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89 | 89 | | Section 53.123(a) of the claimant's mechanic's lien for a removable |
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90 | 90 | | over any prior lien, encumbrance, or mortgage on the property. |
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91 | 91 | | (i) An invoice or other supporting document provided by a |
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92 | 92 | | lien claimant in response to a notice under this section is |
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93 | 93 | | considered a general statement of the existence and general nature |
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94 | 94 | | of a removable and does not limit: |
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95 | 95 | | (1) the evidence a claimant may present at a trial or |
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96 | 96 | | other proceeding to establish the claimant's mechanic's lien for |
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97 | 97 | | the removable; or |
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98 | 98 | | (2) the specific quantity or nature of the removables |
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99 | 99 | | that may be actually proven at a trial or other proceeding. |
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100 | 100 | | SECTION 3. The change in law made by this Act applies only |
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101 | 101 | | to a lien relating to a contract entered into on or after the |
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102 | 102 | | effective date of this Act. A lien relating to a contract entered |
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103 | 103 | | into before the effective date of this Act is governed by the law |
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104 | 104 | | applicable to the lien immediately before the effective date of |
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105 | 105 | | this Act, and that law is continued in effect for that purpose. |
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106 | 106 | | SECTION 4. This Act takes effect January 1, 2012. |
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