| 4 | 2 | | |
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| 5 | 3 | | |
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| 6 | 4 | | A BILL TO BE ENTITLED |
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| 7 | 5 | | AN ACT |
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| 8 | 6 | | relating to certain deposits or fees required to be provided by a |
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| 9 | 7 | | tenant or prospective tenant in connection with a residential |
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| 10 | 8 | | lease. |
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| 11 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 12 | 10 | | SECTION 1. Section 92.001, Property Code, is amended by |
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| 13 | 11 | | adding Subdivision (5-a) to read as follows: |
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| 14 | 12 | | (5-a) "Security deposit" means a security deposit |
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| 15 | 13 | | described by Section 92.102. |
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| 16 | 14 | | SECTION 2. Section 92.102, Property Code, is amended to |
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| 17 | 15 | | read as follows: |
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| 18 | 16 | | Sec. 92.102. SECURITY DEPOSIT. A security deposit is: |
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| 19 | 17 | | (1) any advance of money, other than a rental |
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| 20 | 18 | | application deposit or an advance payment of rent, that is intended |
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| 21 | 19 | | primarily to secure performance under a lease of a dwelling that has |
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| 22 | 20 | | been entered into by a landlord and a tenant or to secure payment |
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| 23 | 21 | | for future damage to the leased premises; |
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| 24 | 22 | | (2) any up front or recurring fee that a landlord |
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| 25 | 23 | | requires a tenant to pay to the landlord or third party to cover |
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| 26 | 24 | | future damages to the leased premises or to cover future lease |
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| 27 | 25 | | violations; and |
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| 28 | 26 | | (3) any fee that a landlord requires a tenant to pay to |
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| 29 | 27 | | the landlord as a result of a tenant's eviction history or credit |
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| 30 | 28 | | history prior to leasing the unit, not including application fees. |
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| 31 | 29 | | SECTION 3. The change in law made by this Act applies only |
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| 32 | 30 | | to a lease entered into or renewed on or after the effective date of |
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| 33 | 31 | | this Act. A lease entered into or renewed before the effective date |
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| 34 | 32 | | of this Act is governed by the law as it existed immediately before |
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| 35 | 33 | | the effective date of this Act, and that law is continued in effect |
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| 36 | 34 | | for that purpose. |
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| 37 | 35 | | SECTION 4. This Act takes effect immediately if it receives |
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| 38 | 36 | | a vote of two-thirds of all the members elected to each house, as |
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| 39 | 37 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 40 | 38 | | Act does not receive the vote necessary for immediate effect, this |
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| 41 | 39 | | Act takes effect September 1, 2025. |
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