| 1 | 1 | | 89R4969 JBD-D |
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| 2 | 2 | | By: Bucy H.B. No. 2398 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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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 the governance of property owners' associations. |
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| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 11 | 11 | | SECTION 1. Section 209.0041, Property Code, is amended by |
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| 12 | 12 | | adding Subsections (j), (k), and (l) to read as follows: |
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| 13 | 13 | | (j) Except as provided by Subsection (k), a dedicatory |
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| 14 | 14 | | instrument other than a declaration may be amended by a vote of |
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| 15 | 15 | | owners owning a majority of the lots subject to the dedicatory |
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| 16 | 16 | | instrument, in addition to any governmental approval required by |
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| 17 | 17 | | law. |
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| 18 | 18 | | (k) If the dedicatory instrument contains a higher |
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| 19 | 19 | | percentage than prescribed by Subsection (j), the percentage in the |
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| 20 | 20 | | dedicatory instrument controls. |
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| 21 | 21 | | (l) If a dedicatory instrument contains quorum |
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| 22 | 22 | | requirements, those requirements apply to a vote under Subsection |
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| 23 | 23 | | (j). |
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| 24 | 24 | | SECTION 2. Section 209.00592, Property Code, is amended by |
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| 25 | 25 | | adding Subsection (h) to read as follows: |
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| 26 | 26 | | (h) A county attorney may bring an action for injunctive |
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| 27 | 27 | | relief to restrain or remedy a violation of this section. |
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| 28 | 28 | | SECTION 3. Section 209.00593, Property Code, is amended by |
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| 29 | 29 | | adding Subsection (c-1) to read as follows: |
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| 30 | 30 | | (c-1) A county attorney may bring an action for injunctive |
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| 31 | 31 | | relief to restrain or remedy a violation of this section. |
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| 32 | 32 | | SECTION 4. Chapter 209, Property Code, is amended by adding |
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| 33 | 33 | | Section 209.018 to read as follows: |
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| 34 | 34 | | Sec. 209.018. BOARD ACTION; BOARD MEMBERS AND OFFICERS AS |
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| 35 | 35 | | FIDUCIARIES. Except as provided by a declaration, bylaws, or this |
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| 36 | 36 | | chapter, the board shall act in all instances on behalf of the |
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| 37 | 37 | | property owners' association if in the good-faith judgment of the |
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| 38 | 38 | | board the action is reasonable. Each officer or member of the board |
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| 39 | 39 | | is liable as a fiduciary of the owners for the officer's or member's |
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| 40 | 40 | | acts or omissions. All acts of the property owners' association |
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| 41 | 41 | | must be by and through the board unless otherwise provided by the |
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| 42 | 42 | | declaration or bylaws or by law. |
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| 43 | 43 | | SECTION 5. (a) Section 209.0041, Property Code, as amended |
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| 44 | 44 | | by this Act, applies only to a vote held on or after the effective |
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| 45 | 45 | | date of this Act. A vote held before the effective date of this Act |
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| 46 | 46 | | is governed by the law as it existed immediately before that date, |
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| 47 | 47 | | and that law is continued in effect for that purpose. |
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| 48 | 48 | | (b) Section 209.018, Property Code, as added by this Act, |
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| 49 | 49 | | applies only to an act or omission that occurs on or after the |
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| 50 | 50 | | effective date of this Act. An act or omission that occurs before |
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| 51 | 51 | | the effective date of this Act is governed by the law in effect on |
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| 52 | 52 | | the date the act or omission occurred, and the former law is |
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| 53 | 53 | | continued in effect for that purpose. |
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| 54 | 54 | | SECTION 6. This Act takes effect September 1, 2025. |
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