88R2254 AJA-F
By: King S.B. No. 939
A BILL TO BE ENTITLED
AN ACT
relating to statutes of limitation and repose for certain claims
arising out of residential construction.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 16.008, Civil Practice and Remedies
Code, is amended by amending Subsections (a) and (c) and adding
Subsections (a-2) and (a-3) to read as follows:
(a) Except as provided by Subsection (a-1) or (a-2), a
person must bring suit for damages for a claim listed in Subsection
(b) against a registered or licensed architect, engineer, interior
designer, or landscape architect in this state, who designs, plans,
or inspects the construction of an improvement to real property or
equipment attached to real property, not later than 10 years after
the substantial completion of the improvement or the beginning of
operation of the equipment in an action arising out of a defective
or unsafe condition of the real property, the improvement, or the
equipment.
(a-2) With respect to any claim arising out of the design,
planning, or inspection of a new residence, of an alteration of or
repair or addition to an existing residence, or of an appurtenance
to a residence, a person must bring suit for damages for a claim
listed in Subsection (b) against a registered or licensed
architect, engineer, interior designer, or landscape architect in
this state, who designs, plans, or inspects the construction of an
improvement to real property or equipment attached to real
property, not later than eight years after the substantial
completion of the improvement or the beginning of operation of the
equipment in an action arising out of a defective or unsafe
condition of the real property, the improvement, or the equipment.
(a-3) For purposes of Subsection (a-2), "residence" has the
meaning assigned by Section 27.001, Property Code.
(c) If the claimant presents a written claim for damages,
contribution, or indemnity to the architect, engineer, interior
designer, or landscape architect within the applicable limitations
period, the period is extended for:
(1) two years from the date the claim is presented, for
a claim to which Subsection (a) applies; or
(2) one year from the date the claim is presented, for
a claim to which Subsection (a-1) or (a-2) applies.
SECTION 2. Section 16.009, Civil Practice and Remedies
Code, is amended by amending Subsections (a) and (c) and adding
Subsections (a-2), (a-3), and (a-4) to read as follows:
(a) Except as provided by Subsection (a-1) or (a-2), a
claimant must bring suit for damages for a claim listed in
Subsection (b) against a person who constructs or repairs an
improvement to real property not later than 10 years after the
substantial completion of the improvement in an action arising out
of a defective or unsafe condition of the real property or a
deficiency in the construction or repair of the improvement.
(a-2) Except as provided by this subsection, with respect to
any claim arising out of the design, construction, or repair of a
new residence, of an alteration of or repair or addition to an
existing residence, or of an appurtenance to a residence, a
claimant must bring suit for damages for a claim listed in
Subsection (b) against a person who constructs or repairs an
improvement to real property not later than eight years after the
substantial completion of the improvement in an action arising out
of a defective or unsafe condition of the real property or a
deficiency in the construction or repair of the improvement. If the
person being sued is a contractor who has provided a written
warranty for the residence that complies with Subsection (a-3), the
claimant must bring the suit not later than five years after the
substantial completion of the improvement.
(a-3) For purposes of Subsection (a-2), a written warranty
must provide a minimum period of:
(1) one year for workmanship and materials;
(2) two years for plumbing, electrical, heating, and
air-conditioning delivery systems; and
(3) five years for major structural components.
(a-4) For purposes of Subsection (a-2), "contractor" and
"residence" have the meanings assigned by Section 27.001, Property
Code.
(c) If the claimant presents a written claim for damages,
contribution, or indemnity to the person performing or furnishing
the construction or repair work during the applicable limitations
period, the period is extended for:
(1) two years from the date the claim is presented, for
a claim to which Subsection (a) applies; or
(2) one year from the date the claim is presented, for
a claim to which Subsection (a-1) or (a-2) applies.
SECTION 3. (a) Except as provided by this section, Section
16.008, Civil Practice and Remedies Code, as amended by this Act,
applies to a cause of action arising out of a design, plan, or
inspection of the construction of an improvement to real property
or equipment attached to real property that commences on or after
the effective date of this Act. Section 16.008, Civil Practice and
Remedies Code, as amended by this Act, does not apply to a cause of
action arising out of a design, plan, or inspection that commences
on or after the effective date of this Act under a contract entered
into before that date.
(b) A cause of action arising out of a design, plan, or
inspection of the construction of an improvement to real property
or equipment attached to real property that commenced before the
effective date of this Act or arising out of a design, plan, or
inspection of the construction of an improvement to real property
or equipment attached to real property that commences on or after
the effective date of this Act under a contract entered into before
that date is governed by the law applicable to the cause of action
immediately before the effective date of this Act, and that law is
continued in effect for that purpose.
SECTION 4. (a) Except as provided by this section, Section
16.009, Civil Practice and Remedies Code, as amended by this Act,
applies to a cause of action arising out of the design,
construction, or repair of an improvement to real property that
commences on or after the effective date of this Act. Section
16.009, Civil Practice and Remedies Code, as amended by this Act,
does not apply to a cause of action arising out of the design,
construction, or repair of an improvement to real property that
commences on or after the effective date of this Act under a
contract entered into before that date.
(b) A cause of action arising out of the design,
construction, or repair of an improvement to real property that
commenced before the effective date of this Act or arising out of
the design, construction, or repair of an improvement to real
property that commences on or after the effective date of this Act
under a contract entered into before that date is governed by the
law applicable to the cause of action immediately before the
effective date of this Act, and that law is continued in effect for
that purpose.
SECTION 5. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2023.