BILL ANALYSIS H.B. 3223 By: Leach Judiciary & Civil Jurisprudence Committee Report (Unamended) BACKGROUND AND PURPOSE In recent years, the Texas Legislature has enacted legislation to shorten the statute of repose for claims involving the construction or repair of an improvement to real property to eight years for claims brought by a governmental entity and to six years for certain claims arising out of residential construction. However, for private commercial projects, the statute of repose is 10 years. The bill author has informed the committee that Texas has the second-longest statute of repose for private commercial projects in the nation, and that many other states, including Arkansas, Tennessee, Louisiana, North Carolina, and Colorado, have statutes of repose ranging from four to six years. H.B. 3223 seeks to shorten the statute of repose for private commercial projects from 10 years to eight years to match current law for public commercial projects, better aligning law across all projects. CRIMINAL JUSTICE IMPACT It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS H.B. 3223 amends the Civil Practice and Remedies Code to shorten the statute of repose for the following types of suits brought by a person other than a governmental entity from 10 years to eight years, which is the statute of repose for such a suit brought by a governmental entity under current law: a suit for damages for certain claims brought against a registered or licensed architect, engineer, interior designer, or landscape architect in Texas, who designs, plans, or inspects the construction of an improvement to real property or equipment attached to real property; and a suit for damages for certain claims brought against a person who constructs or repairs an improvement to real property. The bill also shortens the duration of the extension of the statute of repose period triggered by a claimant other than a governmental entity presenting a written claim for damages, contribution, or indemnity to the applicable person during that period from two years from the date the claim is presented to one year from that date, as is currently the duration of the extension for suits brought by governmental entities or, if applicable, certain suits arising out of residential construction. With respect to suits brought against a person who constructs or repairs an improvement to real property, the bill shortens the statute of limitations for bringing suit if the damage, injury, or death that is the subject of the claim occurs during the last year of the statute of repose period from two years after the day the cause of action accrues to one year after that day. H.B. 3223 establishes that its provisions apply to a cause of action arising out of the following, as appropriate and except as otherwise provided: 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 bill's effective date; or construction or repair of an improvement to real property that commences on or after the bill's effective date. However, the bill's provisions expressly do not apply to such a cause of action if the design, plan, inspection, construction, or repair commences on or after the bill's effective date under a contract entered into before that date. A cause of action arising out of a design, plan, or inspection or construction or repair that commenced before the bill's effective date, or arising out of a design, plan, or inspection or construction or repair that commences on or after the bill's effective date under a contract entered into before that date, is governed by the law applicable to the cause of action immediately before the bill's effective date, and that law is continued in effect for that purpose. H.B. 3223 repeals Sections 16.008(a-1) and 16.009(a-1), Civil Practice and Remedies Code. EFFECTIVE DATE September 1, 2025.
BILL ANALYSIS
# BILL ANALYSIS
H.B. 3223
By: Leach
Judiciary & Civil Jurisprudence
Committee Report (Unamended)
H.B. 3223
By: Leach
Judiciary & Civil Jurisprudence
Committee Report (Unamended)
BACKGROUND AND PURPOSE In recent years, the Texas Legislature has enacted legislation to shorten the statute of repose for claims involving the construction or repair of an improvement to real property to eight years for claims brought by a governmental entity and to six years for certain claims arising out of residential construction. However, for private commercial projects, the statute of repose is 10 years. The bill author has informed the committee that Texas has the second-longest statute of repose for private commercial projects in the nation, and that many other states, including Arkansas, Tennessee, Louisiana, North Carolina, and Colorado, have statutes of repose ranging from four to six years. H.B. 3223 seeks to shorten the statute of repose for private commercial projects from 10 years to eight years to match current law for public commercial projects, better aligning law across all projects.
CRIMINAL JUSTICE IMPACT It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS H.B. 3223 amends the Civil Practice and Remedies Code to shorten the statute of repose for the following types of suits brought by a person other than a governmental entity from 10 years to eight years, which is the statute of repose for such a suit brought by a governmental entity under current law: a suit for damages for certain claims brought against a registered or licensed architect, engineer, interior designer, or landscape architect in Texas, who designs, plans, or inspects the construction of an improvement to real property or equipment attached to real property; and a suit for damages for certain claims brought against a person who constructs or repairs an improvement to real property. The bill also shortens the duration of the extension of the statute of repose period triggered by a claimant other than a governmental entity presenting a written claim for damages, contribution, or indemnity to the applicable person during that period from two years from the date the claim is presented to one year from that date, as is currently the duration of the extension for suits brought by governmental entities or, if applicable, certain suits arising out of residential construction. With respect to suits brought against a person who constructs or repairs an improvement to real property, the bill shortens the statute of limitations for bringing suit if the damage, injury, or death that is the subject of the claim occurs during the last year of the statute of repose period from two years after the day the cause of action accrues to one year after that day. H.B. 3223 establishes that its provisions apply to a cause of action arising out of the following, as appropriate and except as otherwise provided: 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 bill's effective date; or construction or repair of an improvement to real property that commences on or after the bill's effective date. However, the bill's provisions expressly do not apply to such a cause of action if the design, plan, inspection, construction, or repair commences on or after the bill's effective date under a contract entered into before that date. A cause of action arising out of a design, plan, or inspection or construction or repair that commenced before the bill's effective date, or arising out of a design, plan, or inspection or construction or repair that commences on or after the bill's effective date under a contract entered into before that date, is governed by the law applicable to the cause of action immediately before the bill's effective date, and that law is continued in effect for that purpose. H.B. 3223 repeals Sections 16.008(a-1) and 16.009(a-1), Civil Practice and Remedies Code.
EFFECTIVE DATE September 1, 2025.
BACKGROUND AND PURPOSE
In recent years, the Texas Legislature has enacted legislation to shorten the statute of repose for claims involving the construction or repair of an improvement to real property to eight years for claims brought by a governmental entity and to six years for certain claims arising out of residential construction. However, for private commercial projects, the statute of repose is 10 years. The bill author has informed the committee that Texas has the second-longest statute of repose for private commercial projects in the nation, and that many other states, including Arkansas, Tennessee, Louisiana, North Carolina, and Colorado, have statutes of repose ranging from four to six years. H.B. 3223 seeks to shorten the statute of repose for private commercial projects from 10 years to eight years to match current law for public commercial projects, better aligning law across all projects.
CRIMINAL JUSTICE IMPACT
It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
H.B. 3223 amends the Civil Practice and Remedies Code to shorten the statute of repose for the following types of suits brought by a person other than a governmental entity from 10 years to eight years, which is the statute of repose for such a suit brought by a governmental entity under current law:
a suit for damages for certain claims brought against a registered or licensed architect, engineer, interior designer, or landscape architect in Texas, who designs, plans, or inspects the construction of an improvement to real property or equipment attached to real property; and
a suit for damages for certain claims brought against a person who constructs or repairs an improvement to real property.
The bill also shortens the duration of the extension of the statute of repose period triggered by a claimant other than a governmental entity presenting a written claim for damages, contribution, or indemnity to the applicable person during that period from two years from the date the claim is presented to one year from that date, as is currently the duration of the extension for suits brought by governmental entities or, if applicable, certain suits arising out of residential construction. With respect to suits brought against a person who constructs or repairs an improvement to real property, the bill shortens the statute of limitations for bringing suit if the damage, injury, or death that is the subject of the claim occurs during the last year of the statute of repose period from two years after the day the cause of action accrues to one year after that day.
H.B. 3223 establishes that its provisions apply to a cause of action arising out of the following, as appropriate and except as otherwise provided:
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 bill's effective date; or
construction or repair of an improvement to real property that commences on or after the bill's effective date.
However, the bill's provisions expressly do not apply to such a cause of action if the design, plan, inspection, construction, or repair commences on or after the bill's effective date under a contract entered into before that date. A cause of action arising out of a design, plan, or inspection or construction or repair that commenced before the bill's effective date, or arising out of a design, plan, or inspection or construction or repair that commences on or after the bill's effective date under a contract entered into before that date, is governed by the law applicable to the cause of action immediately before the bill's effective date, and that law is continued in effect for that purpose.
H.B. 3223 repeals Sections 16.008(a-1) and 16.009(a-1), Civil Practice and Remedies Code.
EFFECTIVE DATE
September 1, 2025.