- H.B. 2237 modernized the Texas construction lien law system in a few important ways. It is now easier for contractors, subcontractors, and other professionals to understand and comply with the statutes.
- H.B. 2237 enacts revisions to Chapter 53 of the Texas Property Code, which governs mechanics, contractors, and materialman’s liens.
- Lien claimants and owners need to get familiar with the amended Chapter 53.
- Claimants need to consider both versions of the statute, depending on whether the original contract was signed before or after January 1, 2022.
In June 2021, Texas Gov. Greg Abbott signed H.B. 2237 into law. This bill enacted revisions to Chapter 53 of the Texas Property Code, which governs mechanics, contractors, and materialman’s liens.
Note: there will be a transition period. The revised version only applies to contracts signed on or after January 1, 2022. All contracts signed before that date will still be under the conditions of the previous statutes.
Here are some of the most significant changes to the Texas property lien law.
Many of the changes simplify the language, the processes, and the definitions. You can view the updated statute with the changes noted here at legiscan.com.
- Notices of unpaid labor or materials have changed.This process was simplified, so the claimant does not need to give statutory notice for the same unpaid work or materials in two different months. Now, by the 15th day of the third month, the claimant must notify the owner of the property and the original contractor that the labor or materials provided remain unpaid.
- The deadline to file a suit for lien foreclosure was shortened.
The amended law changes the foreclosure deadline on a mechanics lien from two years to one year in commercial construction. Therefore, this “one year” begins on the last day a lien claimant could have filed that lien affidavit. However, there are some extension conditions allowed.
- The revisions expand options for delivering notifications.
Besides delivering applicable lien notices in-person or by certified mail with a return receipt, service can now be done “by any other form of traceable, private delivery or mailing service that can confirm proof of receipt.” Options include services such as FedEx or UPS.
- Lien rights expanded to include more licensed professionals.
Previously, design professionals such as architects, engineers, and surveyors only had lien rights if the contract was direct with the project owner. Under the revised law, lien rights extend to design professionals regardless of their contract.
These are only some of the revisions to the complicated Texas property lien law. You can refer to this National Law Review article for another description of the changes.
Texas Easy Lien attorneys have reviewed all the Texas property lien laws changes. We can assure you that all lien notices are correctly filed and protect your rights to be paid.
Though the updated Texas statutes improve the lien process, Texas Easy Lien makes it more accessible. We provide online access to official lien filing documents that efficiently and inexpensively automate the process. Now you can safely file a lien from your own home or office.
So, if you are worried about collecting payment on your next commercial construction job, click here. You’ll get started protecting the rights given to you under the Texas property lien laws.