Texas 2025 - 89th Regular

Texas Senate Bill SB687 Compare Versions

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11 By: Hughes S.B. No. 687
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3-
2+ (In the Senate - Filed December 20, 2024; February 3, 2025,
3+ read first time and referred to Committee on State Affairs;
4+ March 5, 2025, reported favorably by the following vote: Yeas 11,
5+ Nays 0; March 5, 2025, sent to printer.)
6+Click here to see the committee vote
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69 A BILL TO BE ENTITLED
710 AN ACT
811 relating to liability for land surveying services in or in
912 connection with certain construction or services contracts.
1013 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1114 SECTION 1. Section 130.001, Civil Practice and Remedies
1215 Code, is amended to read as follows:
1316 Sec. 130.001. DEFINITIONS [DEFINITION]. In this chapter:
1417 (1) "Construction ["construction] contract" means a
1518 contract or agreement made and entered into by an owner,
1619 contractor, subcontractor, registered architect, licensed
1720 engineer, land surveyor, or supplier concerning the design,
1821 construction, alteration, repair, or maintenance of a building,
1922 structure, appurtenance, road, highway, bridge, dam, levee, or
2023 other improvement to or on real property, including moving,
2124 demolition, and excavation connected with the real property.
2225 (2) "Land surveyor" means a registered professional
2326 land surveyor or licensed state land surveyor as those terms are
2427 defined by Section 1071.002, Occupations Code.
2528 SECTION 2. Sections 130.002(a), (b), (c), (d), and (f),
2629 Civil Practice and Remedies Code, are amended to read as follows:
2730 (a) A covenant or promise in, in connection with, or
2831 collateral to a construction contract is void and unenforceable if
2932 the covenant or promise provides for a contractor who is to perform
3033 the work that is the subject of the construction contract to
3134 indemnify or hold harmless a registered architect, licensed
3235 engineer, or land surveyor, or an agent, servant, or employee of a
3336 registered architect, [or] licensed engineer, or land surveyor from
3437 liability for damage that:
3538 (1) is caused by or results from:
3639 (A) defects in plans, designs, or specifications
3740 prepared, approved, or used by the architect, [or] engineer, or
3841 land surveyor; or
3942 (B) negligence of the architect, [or] engineer,
4043 or land surveyor in the rendition or conduct of professional duties
4144 called for or arising out of the construction contract and the
4245 plans, designs, or specifications that are a part of the
4346 construction contract; and
4447 (2) arises from:
4548 (A) personal injury or death;
4649 (B) property injury; or
4750 (C) any other expense that arises from personal
4851 injury, death, or property injury.
4952 (b) A covenant or promise in, in connection with, or
5053 collateral to a construction contract other than a contract for a
5154 single family or multifamily residence is void and unenforceable if
5255 the covenant or promise provides for a registered architect, [or]
5356 licensed engineer, or land surveyor whose engineering, [or]
5457 architectural, or land surveying design services are the subject of
5558 the construction contract to indemnify or hold harmless an owner or
5659 owner's agent or employee from liability for damage that is caused
5760 by or results from the negligence of an owner or an owner's agent or
5861 employee.
5962 (c) Except as provided by Subsection (d), (e), or (f), a
6063 covenant or promise in, in connection with, or collateral to a
6164 construction contract for engineering, [or] architectural, or land
6265 surveying services related to an improvement to real property is
6366 void and unenforceable to the extent the covenant or promise
6467 provides that a licensed engineer, [or] registered architect, or
6568 land surveyor must defend a party, including a third party, against
6669 a claim based wholly or partly on the negligence of, fault of, or
6770 breach of contract by the owner, the owner's agent, the owner's
6871 employee, or another entity over which the owner exercises
6972 control. A covenant or promise in, in connection with, or
7073 collateral to a contract for engineering, [or] architectural, or
7174 land surveying services related to an improvement to real property
7275 may provide for the reimbursement of an owner's reasonable
7376 attorney's fees in proportion to the engineer's, [or] architect's,
7477 or land surveyor's liability.
7578 (d) Notwithstanding Subsection (c), an owner that is a party
7679 to a contract for engineering, [or] architectural, or land
7780 surveying services related to an improvement to real property may
7881 require in the contract that the engineer, [or] architect, or land
7982 surveyor name the owner as an additional insured under any of the
8083 engineer's, [or] architect's, or land surveyor's insurance coverage
8184 to the extent additional insureds are allowed under the policy and
8285 provide any defense to the owner provided by the policy to a named
8386 insured.
8487 (f) Subsection (c) does not apply to a covenant to defend a
8588 party, including a third party, for a claim of negligent hiring of
8689 the architect, [or] engineer, or land surveyor.
8790 SECTION 3. The heading to Section 130.0021, Civil Practice
8891 and Remedies Code, is amended to read as follows:
8992 Sec. 130.0021. ARCHITECT'S, [OR] ENGINEER'S, OR LAND
9093 SURVEYOR'S STANDARD OF CARE.
9194 SECTION 4. Sections 130.0021(a) and (b), Civil Practice and
9295 Remedies Code, are amended to read as follows:
9396 (a) A construction contract for architectural, [or]
9497 engineering, or land surveying services or a contract related to
9598 the construction or repair of an improvement to real property that
9699 contains architectural, [or] engineering, or land surveying
97100 services as a component part must require that the architectural,
98101 [or] engineering, or land surveying services be performed with the
99102 professional skill and care ordinarily provided by competent
100103 architects, [or] engineers, or land surveyors practicing under the
101104 same or similar circumstances and professional license.
102105 (b) If a contract described by Subsection (a) contains a
103106 provision establishing a different standard of care than the
104107 standard described by Subsection (a):
105108 (1) the provision is void and unenforceable; and
106109 (2) the standard of care described by Subsection (a)
107110 applies to the performance of the architectural, [or] engineering,
108111 or land surveying services.
109112 SECTION 5. Section 130.004(b), Civil Practice and Remedies
110113 Code, is amended to read as follows:
111114 (b) Except as provided by Section 130.002(b) or (c) or
112115 Section 130.0021, this chapter does not prohibit or make void or
113116 unenforceable a covenant or promise to:
114117 (1) indemnify or hold harmless an owner of an interest
115118 in real property and persons employed solely by that owner; or
116119 (2) allocate, release, liquidate, limit, or exclude
117120 liability in connection with a construction contract between an
118121 owner or other person for whom a construction contract is being
119122 performed and a registered architect, [or] licensed engineer, or
120123 land surveyor.
121124 SECTION 6. Section 130.005, Civil Practice and Remedies
122125 Code, is amended to read as follows:
123126 Sec. 130.005. APPLICATION OF CHAPTER. This chapter does
124127 not apply to a contract or agreement in which an architect, [or]
125128 engineer, or land surveyor, or an agent, servant, or employee of an
126129 architect, [or] engineer, or land surveyor, is indemnified from
127130 liability for:
128131 (1) negligent acts other than those described by this
129132 chapter; or
130133 (2) negligent acts of the contractor, any
131134 subcontractor, any person directly or indirectly employed by the
132135 contractor or a subcontractor, or any person for whose acts the
133136 contractor or a subcontractor may be liable.
134137 SECTION 7. Section 271.904, Local Government Code, is
135138 amended to read as follows:
136139 Sec. 271.904. ENGINEERING, [OR] ARCHITECTURAL, OR LAND
137140 SURVEYING SERVICES CONTRACTS: INDEMNIFICATION LIMITATIONS; DUTIES
138141 OF ENGINEER, [OR] ARCHITECT, OR LAND SURVEYOR. (a) A covenant or
139142 promise in, in connection with, or collateral to a contract for
140143 engineering, [or] architectural, or land surveying services to
141144 which a governmental agency is a party is void and unenforceable if
142145 the covenant or promise provides that a licensed engineer, [or]
143146 registered architect, or land surveyor whose work product is the
144147 subject of the contract must indemnify or hold harmless the
145148 governmental agency against liability for damage, other than
146149 liability for damage to the extent that the damage is caused by or
147150 results from an act of negligence, intentional tort, intellectual
148151 property infringement, or failure to pay a subcontractor or
149152 supplier committed by the indemnitor or the indemnitor's agent,
150153 consultant under contract, or another entity over which the
151154 indemnitor exercises control.
152155 (b) Except as provided by Subsection (c), a covenant or
153156 promise in, in connection with, or collateral to a contract for
154157 engineering, [or] architectural, or land surveying services to
155158 which a governmental agency is a party is void and unenforceable if
156159 the covenant or promise provides that a licensed engineer, [or]
157160 registered architect, or land surveyor whose work product is the
158161 subject of the contract must defend a party, including a third
159162 party, against a claim based wholly or partly on the negligence of,
160163 fault of, or breach of contract by the governmental agency, the
161164 agency's agent, the agency's employee, or other entity, excluding
162165 the engineer, [or] architect, or land surveyor or that person's
163166 agent, employee, or subconsultant, over which the governmental
164167 agency exercises control. A covenant or promise may provide for
165168 the reimbursement of a governmental agency's reasonable attorney's
166169 fees in proportion to the engineer's, [or] architect's, or land
167170 surveyor's liability.
168171 (c) Notwithstanding Subsection (b), a governmental agency
169172 may require in a contract for engineering, [or] architectural, or
170173 land surveying services to which the governmental agency is a party
171174 that the engineer, [or] architect, or land surveyor name the
172175 governmental agency as an additional insured under the engineer's,
173176 [or] architect's, or land surveyor's general liability insurance
174177 policy and provide any defense provided by the policy.
175178 (d) A contract for engineering, [or] architectural, or land
176179 surveying services to which a governmental agency is a party must
177180 require a licensed engineer, [or] registered architect, or land
178181 surveyor to perform services:
179182 (1) with the professional skill and care ordinarily
180183 provided by competent engineers, [or] architects, or land surveyors
181184 practicing under the same or similar circumstances and professional
182185 license; and
183186 (2) as expeditiously as is prudent considering the
184187 ordinary professional skill and care of a competent engineer, [or]
185188 architect, or land surveyor.
186189 (e) In a contract for engineering, [or] architectural, or
187190 land surveying services to which a governmental agency is a party, a
188191 provision establishing a different standard of care than a standard
189192 described by Subsection (d) is void and unenforceable. If a
190193 contract contains a void and unenforceable provision, the standard
191194 of care described by Subsection (d) applies.
192195 (f) In this section:
193196 (1) "Governmental[, "governmental] agency" has the
194197 meaning assigned by Section 271.003.
195198 (2) "Land surveyor" means a registered professional
196199 land surveyor or licensed state land surveyor as those terms are
197200 defined by Section 1071.002, Occupations Code.
198201 (g) Nothing in this section prohibits a governmental agency
199202 in a contract for engineering, [or] architectural, or land
200203 surveying services to which the governmental agency is a party from
201204 including and enforcing conditions that relate to the scope, fees,
202205 and schedule of a project in the contract.
203206 SECTION 8. The change in law made by this Act applies only
204207 to a contract or covenant or promise in, in connection with, or
205208 collateral to a construction contract entered into on or after the
206209 effective date of this Act. A contract or covenant or promise in,
207210 in connection with, or collateral to a construction contract
208211 entered into before the effective date of this Act is governed by
209212 the law applicable to the contract or covenant or promise
210213 immediately before the effective date of this Act, and that law is
211214 continued in effect for that purpose.
212215 SECTION 9. This Act takes effect September 1, 2025.
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