HBA-MSH, MSH H.B. 2129 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2129
By: Hope
Civil Practices
3/27/2001
Introduced



BACKGROUND AND PURPOSE 

Liability claims made to recover damages for a residential housing
construction defect are governed by the Residential Construction Liability
Act.  The act provides protection to both a contractor and  home purchaser
in the case of construction defects.  House Bill 2129 clarifies certain
provisions relating to the settlement of construction liability claims in
an effort to give contractors an opportunity to correct defects in homes
before being taken to court by the home owner. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 2129 amends the Property Code to set forth that provisions
relating to residential construction liability are applicable to any action
for any form of relief arising from a construction defect except  for
personal injury, survival, or wrongful death or for damage to goods.  The
bill provides that if a contractor fails to make a reasonable offer of
settlement, fails to make a reasonable attempt to complete repairs
specified in an accepted offer, or fails to complete in a good manner the
specified repairs the limitations on damages that apply if a claimant
unreasonably rejects an offer do not apply and the claimant may recover
damages for the reasonable cost of repairs, expense of temporary housing,
reduction in market value, and attorney's fees. 

EFFECTIVE DATE

September 1, 2001.