89R9119 SCR-D
By: Campos H.B. No. 4169
A BILL TO BE ENTITLED
AN ACT
relating to fire remediation contracts.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Title 4, Business & Commerce Code, is amended by
adding Chapter 60 to read as follows:
CHAPTER 60. FIRE REMEDIATION CONTRACTS
Sec. 60.001. DEFINITIONS. In this chapter:
(1) "Final fire remediation contract" means a fire
remediation contract entered into after an insurance company
performs an adequate assessment of the damage or destruction caused
by a fire.
(2) "Fire remediation" means removing, cleaning,
sanitizing, demolishing, or otherwise treating improvements to
real property because of damage or destruction to that property
caused by a fire.
(3) "Fire remediation contract" means an agreement for
fire remediation services.
(4) "Fire remediation contractor" means a person who
engages in fire remediation for compensation, other than a person
who holds a permit, license, registration, or other authorization
issued by the Texas Commission on Environmental Quality for the
collection, transportation, treatment, storage, processing, or
disposal of solid waste.
(5) "Person" means an individual, corporation, trust,
partnership, association, or other private legal entity.
(6) "Pre-estimate fire remediation contract" means a
fire remediation contract entered into before an insurance company
performs an adequate assessment of the damage or destruction caused
by a fire.
Sec. 60.002. APPLICABILITY OF CHAPTER. This chapter
applies to a contract between a person and a fire remediation
contractor for the performance of fire remediation services on real
property owned or leased by the person.
Sec. 60.003. CERTAIN FIRE REMEDIATION CONTRACTS NOT
BINDING. A pre-estimate fire remediation contract is not binding
except to the extent provided by Section 60.004.
Sec. 60.004. FIRE REMEDIATION CONTRACT REQUIREMENTS. A
fire remediation contract between a person who owns or leases
property and a fire remediation contractor must be in writing and
include:
(1) a statement acknowledging the contract is not
binding if the contract is a pre-estimate fire remediation contract
except to the extent provided by Subdivision (5);
(2) any applicable estimated dollar amount an
insurance company will pay for the fire remediation services;
(3) the estimated amount the person will be
responsible for paying after submitting any applicable insurance
claim;
(4) a statement informing the person that the person
is not required to sign the contract; and
(5) a statement that, if the person signs the
contract, the person is only responsible for paying the estimated
amount provided in accordance with Subdivision (3).
Sec. 60.005. ELECTRONIC FILING SYSTEM. (a) The secretary
of state shall maintain on the secretary's Internet website an
electronic filing system for fire remediation contracts.
(b) A fire remediation contractor shall submit each
pre-estimate fire remediation contract and final fire remediation
contract to the electronic filing system.
Sec. 60.006. DECEPTIVE TRADE PRACTICE. A violation of this
chapter by a fire remediation contractor is a false, misleading, or
deceptive act or practice in addition to the practice described by
Subchapter E, Chapter 17, and is actionable under that subchapter.
Sec. 60.007. PROHIBITED WAIVER OF CHAPTER. A person may not
waive the requirements of this chapter by contract or other means.
A purported waiver of this chapter is a violation of this section
and is void.
SECTION 2. Chapter 60, Business & Commerce Code, as added by
this Act, applies only to a contract entered into on or after the
effective date of this Act. A contract entered into before the
effective date of this Act is governed by the law in effect on the
date the contract was entered into, and the former law is continued
in effect for that purpose.
SECTION 3. This Act takes effect September 1, 2025.