HBA-MPM C.S.H.B. 549 77(R) BILL ANALYSIS Office of House Bill AnalysisC.S.H.B. 549 By: Nixon, Joe Business & Industry 4/16/2001 Committee Report (Substituted) BACKGROUND AND PURPOSE Current law provides that a landlord has a duty to mitigate damages if a tenant abandons leased premises in violation of a lease. C.S.H.B. 549 clarifies that a landlord only has a duty to make reasonable efforts to mitigate damages. 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 C.S.H.B. 549 amends the Property Code to clarify that a landlord has a duty to make reasonable efforts to mitigate damages if a tenant abandons a leased premises in violation of the lease. The bill specifies that a provision of a lease with an original term of five years or less that purports to waive a right or exempt a landlord from liability or duty is void. EFFECTIVE DATE On passage, or if the Act does not receive the necessary vote, the Act takes effect September 1, 2001. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.H.B. 549 differs from the original bill by stipulating that a landlord make reasonable efforts to mitigate damages if a tenant abandons leased premises in violation of a lease with an original term of five years or less. The original bill transferred provisions regarding a landlord's duty to mitigate damages if a tenant abandons a leased premise in violation of a lease from Chapter 91 to Chapter 92.