Texas 2025 - 89th Regular

Texas House Bill HB2398 Latest Draft

Bill / Introduced Version Filed 02/04/2025

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                            89R4969 JBD-D
 By: Bucy H.B. No. 2398




 A BILL TO BE ENTITLED
 AN ACT
 relating to the governance of property owners' associations.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Section 209.0041, Property Code, is amended by
 adding Subsections (j), (k), and (l) to read as follows:
 (j)  Except as provided by Subsection (k), a dedicatory
 instrument other than a declaration may be amended by a vote of
 owners owning a majority of the lots subject to the dedicatory
 instrument, in addition to any governmental approval required by
 law.
 (k)  If the dedicatory instrument contains a higher
 percentage than prescribed by Subsection (j), the percentage in the
 dedicatory instrument controls.
 (l)  If a dedicatory instrument contains quorum
 requirements, those requirements apply to a vote under Subsection
 (j).
 SECTION 2.  Section 209.00592, Property Code, is amended by
 adding Subsection (h) to read as follows:
 (h)  A county attorney may bring an action for injunctive
 relief to restrain or remedy a violation of this section.
 SECTION 3.  Section 209.00593, Property Code, is amended by
 adding Subsection (c-1) to read as follows:
 (c-1)  A county attorney may bring an action for injunctive
 relief to restrain or remedy a violation of this section.
 SECTION 4.  Chapter 209, Property Code, is amended by adding
 Section 209.018 to read as follows:
 Sec. 209.018.  BOARD ACTION; BOARD MEMBERS AND OFFICERS AS
 FIDUCIARIES. Except as provided by a declaration, bylaws, or this
 chapter, the board shall act in all instances on behalf of the
 property owners' association if in the good-faith judgment of the
 board the action is reasonable. Each officer or member of the board
 is liable as a fiduciary of the owners for the officer's or member's
 acts or omissions. All acts of the property owners' association
 must be by and through the board unless otherwise provided by the
 declaration or bylaws or by law.
 SECTION 5.  (a) Section 209.0041, Property Code, as amended
 by this Act, applies only to a vote held on or after the effective
 date of this Act. A vote held before the effective date of this Act
 is governed by the law as it existed immediately before that date,
 and that law is continued in effect for that purpose.
 (b)  Section 209.018, Property Code, as added by this Act,
 applies only to an act or omission that occurs on or after the
 effective date of this Act. An act or omission that occurs before
 the effective date of this Act is governed by the law in effect on
 the date the act or omission occurred, and the former law is
 continued in effect for that purpose.
 SECTION 6.  This Act takes effect September 1, 2025.