Texas 2025 89th Regular

Texas Senate Bill SB929 Analysis / Analysis

Filed 02/21/2025

                    BILL ANALYSIS        Senate Research Center   S.B. 929         By: Johnson         Business & Commerce         2/21/2025         As Filed          AUTHOR'S / SPONSOR'S STATEMENT OF INTENT   Mechanic's, contractor's, and materialman's liens are legal tools to collect payment for goods and services. Sourced from Chapter 53 of the Texas Property Code, lien rights protect the interest of general contractors, subcontractors, and suppliers in construction projects. However, the complexity and hurdles in Texas lien law pose challenges for claimants who choose to secure their liens, resulting in slow payment and unpaid construction projects.  Current statutes do not prohibit the deadline for submitting notice of mechanic's, contractor's, or materialman's liens from falling on a weekend or a legal holiday. In the 87th Regular Session, H.B. 2237 made several changes to Chapter 53 of the Texas Property Code; however, many deadlines in Chapter 53 are specific dates and do not require counting a period of days.   S.B. 929 would amend Section 53.003(e) of the Texas Property Code to add that the deadline to provide notice must be extended to the next business day if it falls on a weekend or holiday. Changes must be made to standardize procedure and maintain functionality for those in the industry.   As proposed, S.B. 929 amends current law relating to deadlines and time of inception for mechanic's and materialman's liens.   RULEMAKING AUTHORITY   This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.   SECTION BY SECTION ANALYSIS   SECTION 1. Amends Section 53.003(e), Property Code, as follows:   (e) Provides that, in determining the deadline or computing the period of days in which to provide a notice or to take any action required under Chapter 53 (Mechanic's, Contractor's, or Materialman's Lien), if the deadline or the last day of the period is a Saturday, Sunday, or legal holiday, the period is extended to include the next day that is not a Saturday, Sunday, or legal holiday.   SECTION 2. Amends Section 53.124(e), Property Code, to make nonsubstantive changes.   SECTION 3. Effective date: upon passage or September 1, 2025. 

BILL ANALYSIS

 

 

Senate Research Center S.B. 929
 By: Johnson
 Business & Commerce
 2/21/2025
 As Filed

Senate Research Center

S.B. 929

 

By: Johnson

 

Business & Commerce

 

2/21/2025

 

As Filed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Mechanic's, contractor's, and materialman's liens are legal tools to collect payment for goods and services. Sourced from Chapter 53 of the Texas Property Code, lien rights protect the interest of general contractors, subcontractors, and suppliers in construction projects. However, the complexity and hurdles in Texas lien law pose challenges for claimants who choose to secure their liens, resulting in slow payment and unpaid construction projects.

 Current statutes do not prohibit the deadline for submitting notice of mechanic's, contractor's, or materialman's liens from falling on a weekend or a legal holiday. In the 87th Regular Session, H.B. 2237 made several changes to Chapter 53 of the Texas Property Code; however, many deadlines in Chapter 53 are specific dates and do not require counting a period of days.

 

S.B. 929 would amend Section 53.003(e) of the Texas Property Code to add that the deadline to provide notice must be extended to the next business day if it falls on a weekend or holiday. Changes must be made to standardize procedure and maintain functionality for those in the industry.

 

As proposed, S.B. 929 amends current law relating to deadlines and time of inception for mechanic's and materialman's liens.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Section 53.003(e), Property Code, as follows:

 

(e) Provides that, in determining the deadline or computing the period of days in which to provide a notice or to take any action required under Chapter 53 (Mechanic's, Contractor's, or Materialman's Lien), if the deadline or the last day of the period is a Saturday, Sunday, or legal holiday, the period is extended to include the next day that is not a Saturday, Sunday, or legal holiday.

 

SECTION 2. Amends Section 53.124(e), Property Code, to make nonsubstantive changes.

 

SECTION 3. Effective date: upon passage or September 1, 2025.