Bill Text: TX HB2024 | 2023-2024 | 88th Legislature | Comm Sub

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to statutes of limitation and repose for certain claims arising out of residential construction.

Spectrum: Moderate Partisan Bill (Republican 9-2)

Status: (Passed) 2023-06-09 - Effective immediately [HB2024 Detail]

Download: Texas-2023-HB2024-Comm_Sub.html
 
 
  By: Leach, et al. (Senate Sponsor - King) H.B. No. 2024
         (In the Senate - Received from the House April 24, 2023;
  April 24, 2023, read first time and referred to Committee on
  Business & Commerce; May 10, 2023, reported favorably by the
  following vote:  Yeas 9, Nays 2; May 10, 2023, sent to printer.)
Click here to see the committee vote
 
 
 
  COMMITTEE VOTE
 
 
         YeaNayAbsentPNV
         SchwertnerX
         KingX
         BirdwellX
         CampbellX
         CreightonX
         JohnsonX
         KolkhorstX
         MenéndezX
         MiddletonX
         NicholsX
         ZaffiriniX
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to statutes of limitation and repose for certain claims
  arising out of residential construction.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 16.009, Civil Practice and Remedies
  Code, is amended by amending Subsections (a) and (c) and adding
  Subsections (a-2), (a-3), and (a-4) to read as follows:
         (a)  Except as provided by Subsection (a-1) or (a-2), a
  claimant must bring suit for damages for a claim listed in
  Subsection (b) against a person who constructs or repairs an
  improvement to real property not later than 10 years after the
  substantial completion of the improvement in an action arising out
  of a defective or unsafe condition of the real property or a
  deficiency in the construction or repair of the improvement.
         (a-2)  Except as provided by this subsection, with respect to
  any claim arising out of the design, construction, or repair of a
  new residence, of an alteration of or repair or addition to an
  existing residence, or of an appurtenance to a residence, a
  claimant must bring suit for damages for a claim listed in
  Subsection (b) against a person who constructs or repairs an
  improvement to real property not later than 10 years after the
  substantial completion of the improvement in an action arising out
  of a defective or unsafe condition of the real property or a
  deficiency in the construction or repair of the improvement. If the
  person being sued is a contractor who has provided a written
  warranty for the residence that complies with Subsection (a-3), the
  claimant must bring the suit not later than six years after the
  substantial completion of the improvement.
         (a-3)  For purposes of Subsection (a-2), a written warranty
  must provide a minimum period of:
               (1)  one year for workmanship and materials;
               (2)  two years for plumbing, electrical, heating, and
  air-conditioning delivery systems; and
               (3)  six years for major structural components.
         (a-4)  For purposes of Subsection (a-2):
               (1)  "Contractor" has the meaning assigned by Section
  27.001, Property Code.
               (2)  "Residence" means the real property and
  improvements for a detached one-family or two-family dwelling or a
  townhouse not more than three stories above grade plane in height
  with a separate means of egress or an accessory structure not more
  than three stories above grade plane in height.
         (c)  If the claimant presents a written claim for damages,
  contribution, or indemnity to the person performing or furnishing
  the construction or repair work during the applicable limitations
  period, the period is extended for:
               (1)  two years from the date the claim is presented, for
  a claim to which Subsection (a) applies; or
               (2)  one year from the date the claim is presented, for
  a claim to which Subsection (a-1) or (a-2) applies.
         SECTION 2.  (a) Except as provided by this section, Section
  16.009, Civil Practice and Remedies Code, as amended by this Act,
  applies to a cause of action arising out of the design,
  construction, or repair of an improvement to real property that
  commences on or after the effective date of this Act. Section
  16.009, Civil Practice and Remedies Code, as amended by this Act,
  does not apply to a cause of action arising out of the design,
  construction, or repair of an improvement to real property that
  commences on or after the effective date of this Act under a
  contract entered into before that date.
         (b)  A cause of action arising out of the design,
  construction, or repair of an improvement to real property that
  commenced before the effective date of this Act or arising out of
  the design, construction, or repair of an improvement to real
  property that commences on or after the effective date of this Act
  under a contract entered into before that date is governed by the
  law applicable to the cause of action immediately before the
  effective date of this Act, and that law is continued in effect for
  that purpose.
         SECTION 3.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2023.
 
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