Texas 2021 87th Regular

Texas House Bill HB2116 Introduced / Bill

Filed 02/23/2021

                    87R1347 AJA-F
 By: Krause H.B. No. 2116


 A BILL TO BE ENTITLED
 AN ACT
 relating to certain agreements by architects and engineers in or in
 connection with certain construction contracts.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  The heading to Chapter 130, Civil Practice and
 Remedies Code, is amended to read as follows:
 CHAPTER 130. LIABILITY PROVISIONS [INDEMNIFICATION] IN CERTAIN
 CONSTRUCTION CONTRACTS
 SECTION 2.  Section 130.002, Civil Practice and Remedies
 Code, is amended by adding Subsections (c), (d), and (e) to read as
 follows:
 (c)  Except as provided by Subsection (d) or (e), a covenant
 or promise in, in connection with, or collateral to a contract for
 engineering or architectural services related to an improvement to
 real property is void and unenforceable if the covenant or promise
 provides that a licensed engineer or registered architect must
 defend a party, including a third party. A covenant or promise in,
 in connection with, or collateral to a contract for engineering or
 architectural services related to an improvement to real property
 may provide for the reimbursement of an owner's reasonable
 attorney's fees in proportion to the engineer's or architect's
 liability.
 (d)  Notwithstanding Subsection (c), an owner that is a party
 to a contract for engineering or architectural services related to
 an improvement to real property may require in the contract that the
 engineer or architect name the owner as an additional insured under
 the engineer's or architect's commercial general liability
 insurance policy and provide any defense to the owner provided by
 the policy to a named insured.
 (e)  Subsection (c) does not apply to a contract for
 design-build services in which an owner contracts with a single
 entity to provide both design and construction services.
 SECTION 3.  Chapter 130, Civil Practice and Remedies Code,
 is amended by adding Section 130.0021 to read as follows:
 Sec. 130.0021.  ENGINEER'S OR ARCHITECT'S STANDARD OF CARE.
 A contract for engineering or architectural services related to an
 improvement to real property may not require a licensed engineer or
 registered architect to perform professional services to a level of
 professional skill and care beyond that which would be provided by
 an ordinarily prudent engineer or architect with the same
 professional license under the same or similar circumstances.
 SECTION 4.  (a)  Section 130.002(c), Civil Practice and
 Remedies Code, as added by this Act, applies only to a covenant or
 promise in, in connection with, or collateral to a contract entered
 into on or after the effective date of this Act.
 (b)  Sections 130.002(d) and 130.0021, Civil Practice and
 Remedies Code, as added by this Act, apply only to a contract
 entered into on or after the effective date of this Act.
 SECTION 5.  This Act takes effect September 1, 2021.