74R10222 DLF-F
          By Hilbert                                            H.B. No. 2443
          Substitute the following for H.B. No. 2443:
          By Moffat                                         C.S.H.B. No. 2443
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the liability of contractors under a contract to
    1-3  improve real property.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Title 6, Civil Practice and Remedies Code, is
    1-6  amended by adding Chapter 145 to read as follows:
    1-7         CHAPTER 145.  LIABILITY ON CONTRACTS TO IMPROVE REAL
    1-8                               PROPERTY
    1-9        Sec. 145.001.  TRANSFER OF LIABILITY PROHIBITED.  A
   1-10  contractor that has entered into a contract with a subcontractor
   1-11  with respect to an improvement of real property may not transfer
   1-12  through the contract the contractor's:
   1-13              (1)  liability for damages arising from its own
   1-14  negligence; or
   1-15              (2)  duty to defend against a claim or action.
   1-16        Sec. 145.002.  APPLICABILITY.  This chapter does not affect
   1-17  the applicability, validity, and enforceability of:
   1-18              (1)  Chapter 33;
   1-19              (2)  an insurance contract;
   1-20              (3)  benefits and protections under the workers'
   1-21  compensation laws of this state, Subtitle A, Title 5, Labor Code;
   1-22  or
   1-23              (4)  any right of contribution.
    2-1        SECTION 2.  This Act takes effect September 1, 1995, and
    2-2  applies only to liability for an act of negligence under a contract
    2-3  entered into on or after that date.  Liability for an act of
    2-4  negligence under a contract entered into before the effective date
    2-5  of this Act is governed by the law applicable to the act
    2-6  immediately before the effective date of this Act, and that law is
    2-7  continued in effect for that purpose.
    2-8        SECTION 3.  The importance of this legislation and the
    2-9  crowded condition of the calendars in both houses create an
   2-10  emergency and an imperative public necessity that the
   2-11  constitutional rule requiring bills to be read on three several
   2-12  days in each house be suspended, and this rule is hereby suspended.