Legislative Update — Bills Passed by 82nd Legislature
By Stephen Polozola
It was anticipated that the 82nd Legislature would not be active passing many new bills because of the need to resolve political matters such as the budget, redistricting, and the voter ID bill. As it turned out, the Legislature spent quite a bit of time reforming property owners' associations, real property rights, and the award of attorneys' fees. The following discussion summarizes some of these bills and, in particular, those that will impact residential real estate and the daily operations of construction projects in Texas. Each bill can read in its entirety at
www.capitol.state.tx.us.
HB 8 — Private Transfer Fees Prohibited: For years, many developers inserted a provision within the deed restrictions encumbering the property they sold that required upon the resale of the property, a fee (of usually 1% of the sales price) was payable by the seller to the developer. For all transfers in the future, the ability to assess such fee is now void and unenforceable.
HB 91 — Relating to the Extraterritorial Jurisdiction for Certain Municipalities: The ETJ of a municipality that has a population of not less than 20,000 or more than 29,000, is located in a county that has a population of 45,000 or more, and borders the Trinity River is now the unincorporated area that is contiguous to the corporate boundaries of the municipality and located within three miles of such boundaries.
HB 252 — Eligibility for an Exemption from Ad Valorem Taxes on Homestead: The application for a residence homestead exemption is amended to require the applicant to also attest that he does not claim an exemption on another residence homestead in this state or in any other state. This bill also amends what is required for the applicant to prove the existence of a homestead (i.e., driver's license, vehicle registration receipt, or utility bill).
HB 274 — “Loser Pays Bill”: This bill was very scrutinized by various consumer groups, the media,
Vol 4 2011 GREATER DFW METROPLEX BUILDING SAVVY MAGAZINE 5
and numerous political pundits. After months of intense debate, the original bill was ultimately watered down and the loser-pay provision was struck. However, a number of other fee shifting measures were included in the enrolled bill. The Texas Supreme Court has now been ordered to adopt new rules that provide for the dismissal of causes of action that have no basis in law or fact on motion and without evidence, and that require trial courts to grant or deny motions to dismiss within 45 days of filing. The bill also provides for mandatory attorneys' fees and costs to the prevailing party, including a plaintiff who successfully avoids dismissal. Texas has never afforded such ability to obtain early dismissal of a suit in years past.
There are also new rules regarding expedited discovery for cases involving less than $100,000. The Bill further directs the Texas Supreme Court to adopt rules that lower discovery costs and expedite the resolution of civil actions in which the amount in controversy is less than $100,000, including attorneys' fees and all damages. These new procedures will apply in district court, county court at law, and statutory probate courts.
Continued on next page
LEGAL PERSPECTIVE
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24