S.B. No. 1334
                                        AN ACT
    1-1  relating to the relationship between landlords and tenants and to
    1-2  the regulation of residential rental locators; providing penalties.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Subchapter A, Chapter 92, Property Code, is
    1-5  amended by amending Section 92.008 and by adding Section 92.0081 to
    1-6  read as follows:
    1-7        Sec. 92.008.  INTERRUPTION OF UTILITIES<, REMOVAL OF
    1-8  PROPERTY, AND EXCLUSION OF RESIDENTIAL TENANT>.  (a)  A landlord or
    1-9  a landlord's agent may not interrupt or cause the interruption of
   1-10  utility service paid for directly to the utility company by a
   1-11  tenant unless the interruption results from bona fide repairs,
   1-12  construction, or an emergency.
   1-13        (b)  Except as provided by Subsections (c) and (d), a
   1-14  landlord may not interrupt or cause the interruption of water,
   1-15  wastewater, gas, or electric service furnished to a tenant by the
   1-16  landlord as an incident of the tenancy or by other agreement unless
   1-17  the interruption results from bona fide repairs, construction, or
   1-18  an emergency.
   1-19        (c)  A landlord may interrupt or cause the interruption of
   1-20  electrical service furnished to a tenant by the landlord as an
   1-21  incident of the tenancy or by other agreement if:
   1-22              (1)  the electrical service furnished to the tenant is
   1-23  individually metered or submetered for the dwelling unit;
   1-24              (2)  the electrical service connection with the utility
    2-1  company is in the name of the landlord or the landlord's agent; and
    2-2              (3)  the landlord complies with the rules adopted by
    2-3  the Public Utility Commission of Texas for discontinuance of
    2-4  submetered electrical service.
    2-5        (d)  A landlord may interrupt or cause the interruption of
    2-6  electrical service furnished to a tenant by the landlord as an
    2-7  incident of the tenancy or by other agreement if:
    2-8              (1)  the electrical service furnished to the tenant is
    2-9  not individually metered or submetered for the dwelling unit;
   2-10              (2)  the electrical service connection with the utility
   2-11  company is in the name of the landlord or the landlord's agent;
   2-12              (3)  the tenant is at least seven days late in paying
   2-13  the rent;
   2-14              (4)  the landlord has mailed or hand-delivered to the
   2-15  tenant at least five days before the date the electrical service is
   2-16  interrupted a written notice that states:
   2-17                    (A)  the earliest date of the proposed
   2-18  interruption of electrical service;
   2-19                    (B)  the amount of rent the tenant must pay to
   2-20  avert the interruption; and
   2-21                    (C)  the name and location of the individual to
   2-22  whom or the location of the on-site management office where the
   2-23  delinquent rent may be paid during the landlord's normal business
   2-24  hours;
   2-25              (5)  the interruption does not begin before or after
   2-26  the landlord's normal business hours; and
   2-27              (6)  the interruption does not begin on a day, or on a
    3-1  day immediately preceding a day, when the landlord or other
    3-2  designated individual is not available or the on-site management
    3-3  office is not open to accept rent and restore electrical service.
    3-4        (e)  A landlord who interrupts electrical service under
    3-5  Subsection (c) or (d) shall restore the service not later than two
    3-6  hours after the time the tenant tenders, during the landlord's
    3-7  normal business hours, payment of the delinquent electric bill or
    3-8  rent owed to the landlord.
    3-9        (f)  If a landlord or a landlord's agent violates this
   3-10  section, the tenant may:
   3-11              (1)  either recover possession of the premises or
   3-12  terminate the lease; and
   3-13              (2)  recover from the landlord an amount equal to the
   3-14  sum of the tenant's actual damages, one month's rent or $500,
   3-15  whichever is greater, reasonable attorney's fees, and court costs,
   3-16  less any delinquent rents or other sums for which the tenant is
   3-17  liable to the landlord.
   3-18        (g)  A provision of a lease that purports to waive a right or
   3-19  to exempt a party from a liability or duty under this section is
   3-20  void.
   3-21        Sec. 92.0081.  REMOVAL OF PROPERTY AND EXCLUSION OF
   3-22  RESIDENTIAL TENANT.  (a) <(b)>  A landlord may not remove a door,
   3-23  window, or attic hatchway cover or a lock, latch, hinge, hinge pin,
   3-24  doorknob, or other mechanism connected to a door, window, or attic
   3-25  hatchway cover from premises leased to a tenant or remove
   3-26  furniture, fixtures, or appliances furnished by the landlord from
   3-27  premises leased to a tenant unless the landlord removes the item
    4-1  for a bona fide repair or replacement.  If a landlord removes any
    4-2  of the items listed in this subsection for a bona fide repair or
    4-3  replacement, the repair or replacement must be promptly performed.
    4-4        (b) <(c)>  A landlord may not intentionally prevent a tenant
    4-5  from entering the leased premises except by judicial process unless
    4-6  the exclusion results from:
    4-7              (1)  bona fide repairs, construction, or an emergency;
    4-8              (2)  removing the contents of premises abandoned by a
    4-9  tenant; or
   4-10              (3)  changing the door locks of a tenant who is
   4-11  delinquent in paying at least part of the rent.
   4-12        (c) <(d)>  If a landlord or a landlord's agent changes the
   4-13  door lock of a tenant who is delinquent in paying rent, the
   4-14  landlord or the landlord's agent must<:>
   4-15              <(1)>  place a written notice on the tenant's front
   4-16  door stating:
   4-17              (1)  an on-site location where the tenant may go 24
   4-18  hours a day to obtain the new key or a telephone number that is
   4-19  answered 24 hours a day that the tenant may call to have a key
   4-20  delivered within two hours after calling the number; <the name and
   4-21  location of the individual from whom the new key may be obtained at
   4-22  any hour; and>
   4-23              (2)  the fact that the landlord must provide the new
   4-24  key to the tenant at any hour, regardless of whether or not the
   4-25  tenant pays any of the delinquent rent; and
   4-26              (3)  the amount of rent and other charges for which the
   4-27  tenant is delinquent.
    5-1        (d)  A landlord may not intentionally prevent a tenant from
    5-2  entering the leased premises under Subsection (b)(3) unless:
    5-3              (1)  the tenant is delinquent in paying all or part of
    5-4  the rent; and
    5-5              (2)  the landlord has locally mailed not later than the
    5-6  fifth calendar day before the date on which the door locks are
    5-7  changed or hand-delivered to the tenant or posted on the inside of
    5-8  the main entry door of the tenant's dwelling not later than the
    5-9  third calendar day before the date on which the door locks are
   5-10  changed a written notice stating:
   5-11                    (A)  the earliest date that the landlord proposes
   5-12  to change the door locks;
   5-13                    (B)  the amount of rent the tenant must pay to
   5-14  prevent changing of the door locks; and
   5-15                    (C)  the name and street address of the
   5-16  individual to whom, or the location of the on-site management
   5-17  office at which, the delinquent rent may be paid during the
   5-18  landlord's normal business hours.
   5-19        (e)  A landlord may not change the locks on the door of a
   5-20  tenant's dwelling under Subsection (b)(3) on a day, or on a day
   5-21  immediately before a day, on which the landlord or other designated
   5-22  individual is not available, or on which any on-site management
   5-23  office is not open, for the tenant to tender the delinquent rent.
   5-24        (f)  A landlord who intentionally prevents a tenant from
   5-25  entering the tenant's dwelling under Subsection (b)(3) must provide
   5-26  the tenant with a key to the changed lock on the dwelling without
   5-27  regard to whether the tenant pays the delinquent rent.
    6-1        (g)  If a landlord arrives at the dwelling in a timely manner
    6-2  in response to a tenant's telephone call to the number contained in
    6-3  the notice as described by Subsection (c)(1) and the tenant is not
    6-4  present to receive the key to the changed lock, the landlord shall
    6-5  leave a notice on the front door of the dwelling stating the time
    6-6  the landlord arrived with the key and the street address to which
    6-7  the tenant may go to obtain the key during the landlord's normal
    6-8  office hours.
    6-9        (h) <(e)>  If a landlord <or a landlord's agent> violates
   6-10  this section, the tenant may:
   6-11              (1)  either recover possession of the premises or
   6-12  terminate the lease; and
   6-13              (2)  recover from the landlord a civil penalty of one
   6-14  month's rent plus $500, actual damages, court costs, and reasonable
   6-15  attorney's fees in an action to recover property damages, actual
   6-16  expenses, or civil penalties <an amount equal to the sum of the
   6-17  tenant's actual damages, one month's rent or $500, whichever is
   6-18  greater, reasonable attorney's fees, and court costs>, less any
   6-19  delinquent rent <rents> or other sums for which the tenant is
   6-20  liable to the landlord.
   6-21        (i)  If a landlord violates Subsection (f), the tenant may
   6-22  recover, in addition to the remedies provided by Subsection (h), an
   6-23  additional civil penalty of one month's rent.
   6-24        (j) <(f)>  A provision of a lease that purports to waive a
   6-25  right or to exempt a party from a liability or duty under this
   6-26  section is void.
   6-27        SECTION 2.  Section 92.152, Property Code, is amended to read
    7-1  as follows:
    7-2        Sec. 92.152.  APPLICATION OF SUBCHAPTER. (a)  This subchapter
    7-3  does not apply to:
    7-4              (1)  a room in a hotel, motel, or inn or to similar
    7-5  transient housing;
    7-6              (2)  <or to> residential housing owned or operated by a
    7-7  public or private college or university accredited by a recognized
    7-8  accrediting agency as defined under Section 61.003, Education Code;
    7-9              (3)  <, or to> residential housing operated by
   7-10  preparatory schools accredited by the Texas Education Agency, a
   7-11  regional accrediting agency, or any accrediting agency recognized
   7-12  by the commissioner of education; or
   7-13              (4)  a temporary residential tenancy created by a
   7-14  contract for sale in which the buyer occupies the property before
   7-15  closing or the seller occupies the property after closing for a
   7-16  specific term not to exceed 90 days.
   7-17        (b)  Except as provided by Subsection (a), a <A> dwelling to
   7-18  which this subchapter applies includes:
   7-19              (1)  a room in a dormitory or rooming house <not
   7-20  excluded by Subsection (a) of this section>;
   7-21              (2)  a mobile home;
   7-22              (3)  a single family house, duplex, or triplex; and
   7-23              (4)  a living unit in an apartment, condominium,
   7-24  cooperative, or townhome project.
   7-25        SECTION 3.  Section 92.153, Property Code, is amended to read
   7-26  as follows:
   7-27        Sec. 92.153.  SECURITY DEVICES REQUIRED WITHOUT NECESSITY OF
    8-1  TENANT REQUEST.  (a)  Except as provided by Subsections (b), (e),
    8-2  (f), <and> (g), and (h) and without necessity of request by the
    8-3  tenant, a dwelling must be equipped with:
    8-4              (1)  a window latch on each exterior window of the
    8-5  dwelling;
    8-6              (2)  a doorknob lock or keyed dead bolt on each
    8-7  exterior door;
    8-8              (3)  a sliding door pin lock<, a sliding door handle
    8-9  latch, or a sliding door security bar> on each exterior sliding
   8-10  glass door of the dwelling<, if construction of the dwelling was
   8-11  completed before September 1, 1993, and the calendar date is before
   8-12  January 1, 1995>;
   8-13              (4)  <a sliding door pin lock and> a sliding door
   8-14  handle latch or a sliding door security bar on each exterior
   8-15  sliding glass door of the dwelling<, if construction of the
   8-16  dwelling was completed on or after September 1, 1993, or the
   8-17  calendar date is January 1, 1995, or later>; and
   8-18              (5)   a keyless bolting device and a door viewer on
   8-19  each exterior door of the dwelling<, if initial construction of the
   8-20  dwelling was completed on or after September 1, 1993; and>
   8-21              <(6)  a keyless bolting device and a door viewer on
   8-22  each exterior door of the dwelling, if the calendar date is January
   8-23  1, 1995, or later>.
   8-24        (b)  If the dwelling has French doors, one door of each pair
   8-25  of French doors must meet the requirements of Subsection (a) and
   8-26  the other door must have:
   8-27              (1)  a keyed dead bolt or keyless bolting device
    9-1  capable of insertion into the doorjamb above the door and a keyless
    9-2  bolting device capable of insertion into the floor or threshold,
    9-3  each with a bolt having a throw of one inch or more; or
    9-4              (2)  a bolt installed inside the door and operated from
    9-5  the edge of the door, capable of insertion into the doorjamb above
    9-6  the door, and another bolt installed inside the door and operated
    9-7  from the edge of the door capable of insertion into the floor or
    9-8  threshold, each bolt having a throw of three-fourths inch or more.
    9-9        (c)  A security device required by Subsection (a) or (b) must
   9-10  be installed at the landlord's expense.
   9-11        (d)  Subsections (a) and (b) apply only when a tenant is in
   9-12  possession of a dwelling.
   9-13        (e)  A keyless bolting device is not required to be installed
   9-14  at the landlord's expense on an exterior door if:
   9-15              (1)  the dwelling is part of a multiunit complex in
   9-16  which the majority of dwelling units are leased to tenants who are
   9-17  over 55 years of age or who have a physical or mental disability;
   9-18              (2)  a <the> tenant or occupant in the dwelling is over
   9-19  55 years of age or has a physical or mental disability; and
   9-20              (3)  the landlord is expressly required or permitted to
   9-21  periodically check on the well-being or health of the tenant as a
   9-22  part of a written lease or other written agreement.
   9-23        (f)  A keyless bolting device is not required to be installed
   9-24  at the landlord's expense if a tenant or occupant in the dwelling
   9-25  is over 55 years of age or has a physical or mental disability, the
   9-26  tenant requests, in writing, that the landlord deactivate or not
   9-27  install the keyless bolting device, and the tenant certifies in the
   10-1  request that the tenant or occupant is over 55 years of age or has
   10-2  a physical or mental disability.  The request must be a separate
   10-3  document and may not be included as part of a lease agreement. A
   10-4  landlord is not exempt as provided by this subsection if the
   10-5  landlord knows or has reason to know that the requirements of this
   10-6  subsection are not fulfilled.
   10-7        (g)  A keyed dead bolt or a doorknob lock is not required to
   10-8  be installed at the landlord's expense on an exterior door if at
   10-9  the time the tenant agrees to lease the dwelling:
  10-10              (1)  at least one exterior door usable for normal entry
  10-11  into the dwelling has both a keyed dead bolt and a keyless bolting
  10-12  device, installed in accordance with the height, strike plate, and
  10-13  throw requirements of Section 92.154; and
  10-14              (2)  all other exterior doors have a keyless bolting
  10-15  device installed in accordance with the height, strike plate, and
  10-16  throw requirements of Section 92.154.
  10-17        (h) <(g)>  A security device required by this section must be
  10-18  operable throughout the time a tenant is in possession of a
  10-19  dwelling. However, a landlord may deactivate or remove the locking
  10-20  mechanism of a doorknob lock or remove any device not qualifying as
  10-21  a keyless bolting device if a keyed dead bolt has been installed on
  10-22  the same door.
  10-23        (i)  A landlord is subject to the tenant remedies provided by
  10-24  Section 92.164(a)(4) if the landlord:
  10-25              (1)  deactivates or does not install a keyless bolting
  10-26  device, claiming an exemption under Subsection (e), (f), or (g);
  10-27  and
   11-1              (2)  knows or has reason to know that the requirements
   11-2  of the subsection granting the exemption are not fulfilled.
   11-3        SECTION 4.  Sections 92.201, 92.202, 92.203, 92.204, 92.205,
   11-4  and 92.207, Property Code, are amended to read as follows:
   11-5        Sec. 92.201.  Disclosure of Ownership and Management.  (a)  A
   11-6  landlord shall disclose to a tenant, or to any government official
   11-7  or employee acting in an official capacity, according to this
   11-8  subchapter:
   11-9              (1)  the name and either a street or post office box
  11-10  address of the holder of record title, according to the deed
  11-11  records in the county clerk's office, of the dwelling rented by the
  11-12  tenant or inquired about by the government official or employee
  11-13  acting in an official capacity; and
  11-14              (2)  if an entity located off-site from the <tenant's>
  11-15  dwelling is primarily responsible for managing the dwelling, the
  11-16  name and street address of the management company.
  11-17        (b)  Disclosure to a tenant under Subsection (a) must be made
  11-18  by:
  11-19              (1)  giving the information in writing to the tenant on
  11-20  or before the seventh day after the day the landlord receives the
  11-21  tenant's request for the information;
  11-22              (2)  continuously posting the information in a
  11-23  conspicuous place in the dwelling or the office of the on-site
  11-24  manager or on the outside of the entry door to the office of the
  11-25  on-site manager on or before the seventh day after the date the
  11-26  landlord receives the tenant's request for the information; or
  11-27              (3)  including the information in a copy of the
   12-1  tenant's lease or in written rules given to the tenant before the
   12-2  tenant requests the information.
   12-3        (c)  Disclosure of information to a tenant may be made under
   12-4  Subdivision (1) or (2) of Subsection (b) before the tenant requests
   12-5  the information.
   12-6        (d)  Disclosure of information to a government official or
   12-7  employee must be made by giving the information in writing to the
   12-8  official or employee on or before the seventh day after the date
   12-9  the landlord receives the request from the official or employee for
  12-10  the information.
  12-11        (e)  A correction to the information may be made by any of
  12-12  the methods authorized for providing the information.
  12-13        (f) <(e)>  For the purposes of this section, an owner or
  12-14  property manager may disclose either an actual name or names or an
  12-15  assumed name if an assumed name certificate has been recorded with
  12-16  the county clerk.
  12-17        Sec. 92.202.  Landlord's Failure to Disclose Information.
  12-18  (a)  A landlord is liable to a tenant or a governmental body
  12-19  according to this subchapter if:
  12-20              (1)  after the tenant or government official or
  12-21  employee makes a request for information under Section 92.201, the
  12-22  landlord does not provide the information; and
  12-23              (2)  the landlord does not give the information to the
  12-24  tenant or government official or employee before the eighth day
  12-25  after the date the tenant, official, or employee gives the landlord
  12-26  written notice that the tenant, official, or employee may exercise
  12-27  <his> remedies under this subchapter if the landlord does not
   13-1  comply with the <tenant's> request by the tenant, official, or
   13-2  employee for the information within seven days.
   13-3        (b)  If the tenant's lease is in writing, the lease may
   13-4  require the tenant's initial request for information to be written.
   13-5  A request by a government official or employee for information must
   13-6  be in writing.
   13-7        Sec. 92.203.  Landlord's Failure to Correct Information.  A
   13-8  landlord who has provided information under Subdivision (2) or (3)
   13-9  of Subsection (b) of Section 92.201 is liable to a tenant according
  13-10  to this subchapter if:
  13-11              (1)  the information becomes incorrect because a name
  13-12  or address changes; and
  13-13              (2)  the landlord fails to correct the information on
  13-14  or before the seventh day after the date the tenant gives the
  13-15  landlord written notice that the tenant may exercise the <his>
  13-16  remedies under this subchapter if the corrected information is not
  13-17  provided within seven days.
  13-18        Sec. 92.204.  Bad Faith Violation.  A landlord acts in bad
  13-19  faith and is liable according to this subchapter if the landlord
  13-20  gives an incorrect name or address under Subsection (a) of Section
  13-21  92.201 by wilfully:
  13-22              (1)  disclosing incorrect information under
  13-23  <Subdivision (1) or (2) of Subsection (b) of> Section 92.201(b)(1)
  13-24  or (2) or Section 92.201(d); or
  13-25              (2)  failing to correct information given under
  13-26  <Subdivision (1) or (2) of Subsection (b) of> Section 92.201(b)(1)
  13-27  or (2) or Section 92.201(d) that the landlord knows is incorrect.
   14-1        Sec. 92.205.  <Tenant> Remedies.  (a)  A tenant of a landlord
   14-2  who is liable under Section 92.202, 92.203, or 92.204 may obtain or
   14-3  exercise one or more of the following remedies:
   14-4              (1)  a court order directing the landlord to make a
   14-5  disclosure required by this subchapter;
   14-6              (2)  a judgment against the landlord for an amount
   14-7  equal to the tenant's actual costs in discovering the information
   14-8  required to be disclosed by this subchapter;
   14-9              (3)  a judgment against the landlord for one month's
  14-10  rent plus $100;
  14-11              (4)  a judgment against the landlord for court costs
  14-12  and attorney's fees; and
  14-13              (5)  unilateral termination of the lease without a
  14-14  court proceeding.
  14-15        (b)  A governmental body whose official or employee has
  14-16  requested information from a landlord who is liable under Section
  14-17  92.202 or 92.204 may obtain or exercise one or more of the
  14-18  following remedies:
  14-19              (1)  a court order directing the landlord to make a
  14-20  disclosure required by this subchapter;
  14-21              (2)  a judgment against the landlord for an amount
  14-22  equal to the governmental body's actual costs in discovering the
  14-23  information required to be disclosed by this subchapter;
  14-24              (3)  a judgment against the landlord for $500; and
  14-25              (4)  a judgment against the landlord for court costs
  14-26  and attorney's fees.
  14-27        Sec. 92.207.  Agents for Delivery of Notice.  (a)  A managing
   15-1  or leasing agent, whether residing or maintaining an office on-site
   15-2  or off-site, is the agent of the landlord for purposes of:
   15-3              (1)  notice and other communications required or
   15-4  permitted by this subchapter;
   15-5              (2)  notice and other communications from a
   15-6  governmental body relating to a violation of health, sanitation,
   15-7  safety, or nuisance laws on the landlord's property where the
   15-8  dwelling is located, including notices of:
   15-9                    (A)  demands for abatement of nuisances;
  15-10                    (B)  repair of a substandard dwelling;
  15-11                    (C)  remedy of dangerous conditions;
  15-12                    (D)  reimbursement of costs incurred by the
  15-13  governmental body in curing the violation;
  15-14                    (E)  fines; and
  15-15                    (F)  service of process.
  15-16        (b)  If the landlord's name and business street address in
  15-17  this state have not been furnished in writing to the tenant or
  15-18  government official or employee, the person who collects the rent
  15-19  from a tenant is the landlord's authorized agent for purposes of
  15-20  Subsection (a).
  15-21        SECTION 5.  Chapter 92, Property Code, is amended by adding
  15-22  Subchapter H, transferring Sections 92.057 and 92.059 to new
  15-23  Subchapter H, redesignating Section 92.057 as Sections 92.331
  15-24  through 92.334 and redesignating Section 92.059 as Section 92.335,
  15-25  and amending Sections 92.057 and 92.059, as transferred and
  15-26  redesignated, to read as follows:
  15-27                      SUBCHAPTER H.  RETALIATION
   16-1        Sec. 92.331 <92.057>.  RETALIATION BY LANDLORD.  (a)  A
   16-2  landlord may not retaliate against a tenant by taking an action
   16-3  described by Subsection (b) because the tenant:
   16-4              (1)  in good faith exercises or attempts to exercise
   16-5  against a landlord a right or remedy granted to the tenant by
   16-6  lease, municipal ordinance, or federal or state statute;
   16-7              (2)  gives a landlord a notice to repair or exercise a
   16-8  remedy under this chapter; or
   16-9              (3)  complains to a governmental entity responsible for
  16-10  enforcing building or housing codes, a public utility, or a civic
  16-11  or nonprofit agency, and the tenant:
  16-12                    (A)  claims a building or housing code violation
  16-13  or utility problem; and
  16-14                    (B)  believes in good faith that the complaint is
  16-15  valid and that the violation or problem occurred.
  16-16        (b)  A landlord may not, within six months after the date of
  16-17  the tenant's action under Subsection (a), retaliate against the
  16-18  tenant by:
  16-19              (1)  filing an eviction proceeding, except for the
  16-20  grounds stated by Section 92.332;
  16-21              (2)  depriving the tenant of the use of the premises,
  16-22  except for reasons authorized by law;
  16-23              (3)  decreasing services to the tenant;
  16-24              (4)  increasing the tenant's rent or terminating the
  16-25  tenant's lease; or
  16-26              (5)  engaging, in bad faith, in a course of conduct
  16-27  that materially interferes with the tenant's rights under the
   17-1  tenant's lease <If a tenant gives a landlord a notice to repair or
   17-2  exercises a remedy under this subchapter for the landlord's failure
   17-3  to repair, the landlord may not, within six months from the date
   17-4  the notice to repair was given, retaliate against the tenant by:>
   17-5              <(1)  filing an eviction proceeding except for the
   17-6  grounds stated in Subsection (c);>
   17-7              <(2)  depriving the tenant of the use of the premises
   17-8  except for reasons authorized by law;>
   17-9              <(3)  decreasing services to the tenant; or>
  17-10              <(4)  increasing the tenant's rent or terminating the
  17-11  tenant's lease>.
  17-12        Sec. 92.332.  NONRETALIATION.  (a)  <(b)>  The landlord is
  17-13  not liable for retaliation under this subchapter <Subsection (a)>
  17-14  if the landlord proves that the action was not made for purposes of
  17-15  retaliation, nor is the landlord liable, unless the action violates
  17-16  a prior court order under Section 92.0563, for:
  17-17              (1)  increasing rent under an escalation clause in a
  17-18  written lease for utilities, taxes, or insurance; or
  17-19              (2)  increasing rent or reducing services as part of a
  17-20  pattern of rent increases or service reductions for an entire
  17-21  multidwelling project.
  17-22        (b) <(c)>  An eviction or lease termination based on the
  17-23  following circumstances, which are valid grounds for eviction or
  17-24  lease termination in any event, does not constitute retaliation:
  17-25              (1)  the tenant is delinquent in rent when the landlord
  17-26  gives notice to vacate or files an eviction action;
  17-27              (2)  the tenant, a member of the tenant's family, or a
   18-1  guest or invitee of the tenant intentionally damages property on
   18-2  the premises or by word or conduct threatens the personal safety of
   18-3  the landlord, the landlord's employees, or another tenant;
   18-4              (3)  the tenant has materially breached the lease,
   18-5  other than by holding over, by an action such as violating written
   18-6  lease provisions prohibiting serious misconduct or criminal acts,
   18-7  except as provided by this section <subsection>;
   18-8              (4)  the tenant holds over after giving notice of
   18-9  termination or intent to vacate;
  18-10              (5)  the tenant holds over after the landlord gives
  18-11  notice of termination at the end of the rental term and the tenant
  18-12  does not take action under Section 92.331 <landlord does not
  18-13  receive actual notice from the tenant to repair> until after the
  18-14  landlord gives notice of termination; or
  18-15              (6)  the tenant holds over and the landlord's notice of
  18-16  termination is motivated by a good faith belief that the tenant, a
  18-17  member of the tenant's family, or a guest or invitee of the tenant
  18-18  might:
  18-19                    (A)  adversely affect the quiet enjoyment by
  18-20  other tenants or neighbors;
  18-21                    (B)  materially affect the health or safety of
  18-22  the landlord, other tenants, or neighbors; or
  18-23                    (C)  damage the property of the landlord, other
  18-24  tenants, or neighbors.
  18-25        Sec. 92.333.  TENANT REMEDIES.  In addition to other remedies
  18-26  provided by law, if <(d)  If> a landlord retaliates against a
  18-27  tenant under this subchapter <section>, the tenant may recover from
   19-1  the landlord a civil penalty of one month's rent plus $500, actual
   19-2  damages, court costs, and reasonable attorney's fees in an action
   19-3  for recovery of property damages, moving costs, actual expenses,
   19-4  civil penalties, or declaratory or injunctive relief, less any
   19-5  delinquent rents or other sums for which the tenant is liable to
   19-6  the landlord.  If the tenant's rent payment to the landlord is
   19-7  subsidized in whole or in part by a governmental entity, the civil
   19-8  penalty granted under this section shall reflect the fair market
   19-9  rent of the dwelling plus $500.
  19-10        Sec. 92.334.  INVALID COMPLAINTS.  (a)  If a tenant files or
  19-11  prosecutes a suit for retaliatory action based on a complaint
  19-12  asserted under Section 92.331(a)(3), and the government building or
  19-13  housing inspector or utility company representative visits the
  19-14  premises and determines in writing that a violation of a building
  19-15  or housing code does not exist or that a utility problem does not
  19-16  exist, there is a rebuttable presumption that the tenant acted in
  19-17  bad faith.
  19-18        (b)  If a tenant files or prosecutes a suit under this
  19-19  subchapter in bad faith, the landlord may recover possession of the
  19-20  dwelling unit and may recover from the tenant a civil penalty of
  19-21  one month's rent plus $500, court costs, and reasonable attorney's
  19-22  fees.  If the tenant's rent payment to the landlord is subsidized
  19-23  in whole or in part by a governmental entity, the civil penalty
  19-24  granted under this section shall reflect the fair market rent of
  19-25  the dwelling plus $500<: (1) one month's rent plus $500; (2)
  19-26  reasonable moving costs; and (3)  court costs and attorney's fees>.
  19-27        Sec. 92.335 <92.059>.  Eviction <Forcible Entry and Detainer>
   20-1  Suits.  In an eviction suit, retaliation by the landlord under
   20-2  Section 92.331 is a defense and <92.057 or> a rent deduction
   20-3  lawfully made by the tenant under this chapter <Section 92.0561 or
   20-4  92.301> is a defense for nonpayment of the rent to the extent
   20-5  allowed by this chapter <those sections>.  Other judicial actions
   20-6  under this chapter <subchapter> may not be joined with an eviction
   20-7  suit or asserted as a defense or crossclaim in an eviction suit.
   20-8        SECTION 6.  The Real Estate License Act (Article 6573a,
   20-9  Vernon's Texas Civil Statutes) is amended by adding Section 24 to
  20-10  read as follows:
  20-11        Sec. 24.  RESIDENTIAL RENTAL LOCATORS.  (a)  In this section,
  20-12  "residential rental locator" means a person, other than the owner
  20-13  of the property or a person exempted by Section 3 of this Act, who
  20-14  offers, for consideration, to locate a unit in an apartment complex
  20-15  for lease to a prospective tenant.
  20-16        (b)  A person may not engage in business as a residential
  20-17  rental locator in this state unless the person holds a license
  20-18  issued under this Act to operate as a real estate broker or real
  20-19  estate salesman and complies with the continuing education
  20-20  requirements under Section 7A of this Act.
  20-21        (c)  The commission by rule shall adopt regulations and
  20-22  establish standards relating to permissible forms of advertising by
  20-23  a person licensed under this section.
  20-24        (d)  Each residential rental locator shall post in a
  20-25  conspicuous place accessible to clients and prospective clients the
  20-26  locator's license, a statement that the locator is licensed by the
  20-27  commission, and the name, mailing address, and telephone number of
   21-1  the commission as provided by Section 5(q) of this Act.
   21-2        (e)  A violation of this section by a residential rental
   21-3  locator constitutes grounds under this Act for the suspension or
   21-4  revocation of the person's license and for the assessment of an
   21-5  administrative penalty under Section 19A of this Act.
   21-6        (f)  A person commits an offense if the person engages in
   21-7  business as a residential rental locator in this state without a
   21-8  license issued under this Act.  An offense under this subsection is
   21-9  a Class B misdemeanor.
  21-10        (g)  The commission by rule may provide for a waiver of some
  21-11  or all of the requirements for a license under this Act,
  21-12  notwithstanding any other provision of this Act, if the applicant
  21-13  was previously licensed in this state within the five-year period
  21-14  prior to the filing of the application.
  21-15        SECTION 7.  Section 92.258, Property Code, is amended by
  21-16  amending Subsections (b) and (e) and by adding Subsection (g) to
  21-17  read as follows:
  21-18        (b)  The landlord shall determine that the smoke detector is
  21-19  in good working order at the beginning of the tenant's possession
  21-20  by testing the smoke detector with smoke, by operating the testing
  21-21  button on the smoke detector, or by following other <the>
  21-22  recommended test procedures of the manufacturer for the particular
  21-23  model<:>
  21-24              <(1)  at the beginning of a tenant's possession if the
  21-25  dwelling unit contains a smoke detector; or>
  21-26              <(2)  at the time of installation if the landlord
  21-27  installs the smoke detector in the dwelling unit after the tenant
   22-1  has taken possession>.
   22-2        (e)  The landlord has met the duty to inspect and repair if
   22-3  the smoke detector is in good working order after the landlord
   22-4  tests the smoke detector with smoke, operates the testing button on
   22-5  the smoke detector, or follows other <the> recommended test
   22-6  procedures of the manufacturer for the particular model.
   22-7        (g)  A smoke detector that is in good working order at the
   22-8  beginning of a tenant's possession is presumed to be in good
   22-9  working order until the tenant requests repair of the smoke
  22-10  detector as provided by this subchapter.
  22-11        SECTION 8.  Section 92.259, Property Code, is amended to read
  22-12  as follows:
  22-13        Sec. 92.259.  LANDLORD'S FAILURE TO INSTALL, INSPECT, OR
  22-14  REPAIR.  (a)  A landlord is liable according to this subchapter if:
  22-15              (1)  the landlord did not install a smoke detector at
  22-16  the time of initial occupancy by the tenant as required by this
  22-17  subchapter or a municipal ordinance permitted by this subchapter;
  22-18  or <after the tenant requested the landlord to install, inspect, or
  22-19  repair a smoke detector in the tenant's dwelling unit as required
  22-20  by this subchapter, the landlord did not install the smoke detector
  22-21  or inspect or repair the smoke detector within a reasonable time
  22-22  after the tenant's notice of malfunction or request for repair,
  22-23  considering the availability of materials, labor, and utilities;
  22-24  and>
  22-25              (2)  the landlord does not install, inspect, or repair
  22-26  the smoke detector on or before the seventh day after the date the
  22-27  tenant gives the landlord written notice that the tenant may
   23-1  exercise his remedies under this subchapter if the landlord does
   23-2  not comply with the request within seven days.
   23-3        (b)  If the tenant gives notice under Subsection (a)(2) and
   23-4  the tenant's lease is in writing, the lease may require the tenant
   23-5  to make the initial request for installation, inspection, or repair
   23-6  in writing.
   23-7        SECTION 9.  Section 92.260, Property Code, is amended to read
   23-8  as follows:
   23-9        Sec. 92.260.  TENANT REMEDIES.  A tenant of a landlord who is
  23-10  liable under Section 92.259 may obtain or exercise one or more of
  23-11  the following remedies:
  23-12              (1)  a court order directing the landlord to comply
  23-13  with the tenant's request if the tenant is in possession of the
  23-14  dwelling unit;
  23-15              (2)  a judgment against the landlord for damages
  23-16  suffered by the tenant because of the landlord's violation;
  23-17              (3)  a judgment against the landlord for a civil
  23-18  penalty of one month's rent plus $100 if the landlord violates
  23-19  Section 92.259(a)(2);
  23-20              (4)  a judgment against the landlord for court costs
  23-21  <and attorney's fees>; <and>
  23-22              (5)  a judgment against the landlord for attorney's
  23-23  fees in an action under Subdivision (1) or (3); and
  23-24              (6)  unilateral termination of the lease without a
  23-25  court proceeding if the landlord violates Section 92.259(a)(2).
  23-26        SECTION 10.  Subchapter F, Chapter 92, Property Code, is
  23-27  amended by adding Section 92.2611 to read as follows:
   24-1        Sec. 92.2611.  TENANT'S DISABLING OF A SMOKE DETECTOR.
   24-2  (a)  A tenant is liable according to this subchapter if the tenant
   24-3  removes a battery from a smoke detector without immediately
   24-4  replacing it with a working battery or knowingly disconnects or
   24-5  intentionally damages a smoke detector, causing it to malfunction.
   24-6        (b)  Except as provided in Subsection (c), a landlord of a
   24-7  tenant who is liable under Subsection (a) may obtain a judgment
   24-8  against the tenant for damages suffered by the landlord because the
   24-9  tenant removed a battery from a smoke detector without immediately
  24-10  replacing it with a working battery or knowingly disconnected or
  24-11  intentionally damaged the smoke detector, causing it to
  24-12  malfunction.
  24-13        (c)  A tenant is not liable for damages suffered by the
  24-14  landlord if the damage is caused by the landlord's failure to
  24-15  repair the smoke detector within a reasonable time after the tenant
  24-16  requests it to be repaired, considering the availability of
  24-17  material, labor, and utilities.
  24-18        (d)(1)  A landlord of a tenant who is liable under Subsection
  24-19  (a) may obtain or exercise one or more of the remedies in
  24-20  Subsection (e) if:
  24-21                    (A)  a lease between the landlord and tenant
  24-22  contains a notice, in underlined or boldface print, which states in
  24-23  substance that the tenant must not disconnect or intentionally
  24-24  damage a smoke detector or remove the battery without immediately
  24-25  replacing it with a working battery and that the tenant may be
  24-26  subject to damages, civil penalties, and attorney's fees under
  24-27  Section 92.2611 of the Property Code for not complying with the
   25-1  notice; and
   25-2                    (B)  the landlord has given notice to the tenant
   25-3  that the landlord intends to exercise the landlord's remedies under
   25-4  this subchapter if the tenant does not reconnect, repair, or
   25-5  replace the smoke detector or replace the removed battery within
   25-6  seven days after being notified by the landlord to do so.
   25-7              (2)  The notice in Subdivision (1)(B) must be in a
   25-8  separate document furnished to the tenant after the landlord has
   25-9  discovered that the tenant has disconnected or damaged the smoke
  25-10  detector or removed a battery from it.
  25-11        (e)  If a tenant is liable under Subsection (a) and the
  25-12  tenant does not comply with the landlord's notice under Subsection
  25-13  (d), the landlord shall have the following remedies against the
  25-14  tenant:
  25-15              (1)  a court order directing the tenant to comply with
  25-16  the landlord's notice;
  25-17              (2)  a judgment against the tenant for a civil penalty
  25-18  of one month's rent plus $100;
  25-19              (3)  a judgment against the tenant for court costs; and
  25-20              (4)  a judgment against the tenant for reasonable
  25-21  attorney's fees.
  25-22        (f)  A tenant's guest or invitee who suffers damage because
  25-23  of a landlord's failure to install, inspect, or repair a smoke
  25-24  detector as required by this subchapter may recover a judgment
  25-25  against the landlord for the damage.  A tenant's guest or invitee
  25-26  who suffers damage because the tenant removed a battery without
  25-27  immediately replacing it with a working battery or because the
   26-1  tenant knowingly disconnected or intentionally damaged the smoke
   26-2  detector, causing it to malfunction, may recover a judgment against
   26-3  the tenant for the damage.
   26-4        SECTION 11.  Subsection (a), Section 7A, The Real Estate
   26-5  License Act (Article 6573a, Vernon's Texas Civil Statutes), is
   26-6  amended to read as follows:
   26-7        (a)  To renew an active real estate broker license or an
   26-8  active real estate salesman license that is not subject to the
   26-9  annual education requirements of this Act, the licensee must
  26-10  provide the commission proof of attendance at at least 15 classroom
  26-11  hours of continuing education courses approved by the commission
  26-12  during the term of the current license.  The commission by rule may
  26-13  provide for the substitution of relevant educational experience or
  26-14  correspondence courses approved by the commission instead of
  26-15  classroom attendance.  In addition, supervised video instruction
  26-16  may be approved by the commission as a course counting as classroom
  26-17  hours of mandatory continuing education. At least six hours of
  26-18  instruction must be devoted to the rules of the commission, fair
  26-19  housing laws, landlord-tenant law and other Property Code issues,
  26-20  agency laws, antitrust laws, the Deceptive Trade Practices-Consumer
  26-21  Protection Act (Subchapter E, Chapter 17, Business & Commerce
  26-22  Code), disclosures to buyers, landlords, tenants, and sellers,
  26-23  current contract and addendum forms, the unauthorized practice of
  26-24  law, case studies involving violations of laws and regulations,
  26-25  current Federal Housing Administration and Department of Veterans
  26-26  Affairs <Veterans Administration> regulations, tax laws, property
  26-27  tax consulting laws and legal issues, or <and> other legal topics
   27-1  approved by the commission.  The remaining hours may be devoted to
   27-2  other real estate-related topics approved by the commission.  The
   27-3  commission may consider equivalent courses for continuing education
   27-4  credit.  Property tax consulting laws and legal issues include but
   27-5  are not limited to the Tax Code, preparation of property tax
   27-6  reports, the unauthorized practice of law, agency laws, tax laws,
   27-7  laws concerning property taxes or assessments, deceptive trade
   27-8  practices, contract forms and addendum, and other legal topics
   27-9  approved by the commission <The commission, on the request of a
  27-10  provider of education, shall review a core real estate course
  27-11  authorized under Section 7 of this Act and may approve it as a
  27-12  mandatory continuing education course>.  Real estate related
  27-13  courses approved by the State Bar of Texas for minimum continuing
  27-14  legal education participatory credit and core real estate courses
  27-15  under Section 7(a) of this Act shall automatically be approved as
  27-16  mandatory continuing education courses under this Act.  The
  27-17  commission may not require examinations except for correspondence
  27-18  courses or courses offered by alternative delivery systems such as
  27-19  computers.  Daily classroom course segments must be at least three
  27-20  hours long but not more than 10 hours long.  <If the license being
  27-21  renewed under this section was issued for less than two years, the
  27-22  licensee must provide the commission proof of attendance at at
  27-23  least eight classroom hours of continuing education within the term
  27-24  of the current license, three classroom hours of which must have
  27-25  been devoted to the legal topics specified in this section.>
  27-26        SECTION 12.  Subsection (a), Section 15, The Real Estate
  27-27  License Act (Article 6573a, Vernon's Texas Civil Statutes), is
   28-1  amended to read as follows:
   28-2        (a)  The commission may, on its own motion, and shall, on the
   28-3  signed complaint in writing of a consumer or service recipient,
   28-4  provided the complaint, or the complaint together with evidence,
   28-5  documentary or otherwise, presented in connection with the
   28-6  complaint, provides reasonable cause, investigate the actions and
   28-7  records of a real estate broker or real estate salesman.  The
   28-8  commission may suspend or revoke a license issued under the
   28-9  provisions of this Act at any time when it has been determined
  28-10  that:
  28-11              (1)  the licensee has entered a plea of guilty or nolo
  28-12  contendere to, or been found guilty of, or been convicted of, a
  28-13  felony, in which fraud is an essential element, and the time for
  28-14  appeal has elapsed or the judgment or conviction has been affirmed
  28-15  on appeal, irrespective of an order granting probation following
  28-16  such conviction, suspending the imposition of sentence;
  28-17              (2)  the licensee has procured, or attempted to
  28-18  procure, a real estate license, for himself or a salesman, by
  28-19  fraud, misrepresentation or deceit, or by making a material
  28-20  misstatement of fact in an application for a real estate license;
  28-21              (3)  the licensee, when selling, buying, trading, or
  28-22  renting real property in his own name, engaged in misrepresentation
  28-23  or dishonest or fraudulent action;
  28-24              (4)  the licensee has failed within a reasonable time
  28-25  to make good a check issued to the commission after the commission
  28-26  has mailed a request for payment by certified mail to the
  28-27  licensee's last known business address as reflected by the
   29-1  commission's records;
   29-2              (5)  the licensee has disregarded or violated a
   29-3  provision of this Act;
   29-4              (6)  the licensee, while performing an act constituting
   29-5  an act of a broker or salesman, as defined by this Act, has been
   29-6  guilty of:
   29-7                    (A)  making a material misrepresentation, or
   29-8  failing to disclose to a potential purchaser any latent structural
   29-9  defect or any other defect known to the broker or salesman.  Latent
  29-10  structural defects and other defects do not refer to trivial or
  29-11  insignificant defects but refer to those defects that would be a
  29-12  significant factor to a reasonable and prudent purchaser in making
  29-13  a decision to purchase;
  29-14                    (B)  making a false promise of a character likely
  29-15  to influence, persuade, or induce any person to enter into a
  29-16  contract or agreement when the licensee could not or did not intend
  29-17  to keep such promise;
  29-18                    (C)  pursuing a continued and flagrant course of
  29-19  misrepresentation or making of false promises through agents,
  29-20  salesmen, advertising, or otherwise;
  29-21                    (D)  failing to make clear, to all parties to a
  29-22  transaction, which party he is acting for, or receiving
  29-23  compensation from more than one party except with the full
  29-24  knowledge and consent of all parties;
  29-25                    (E)  failing within a reasonable time properly to
  29-26  account for or remit money coming into his possession which belongs
  29-27  to others, or commingling money belonging to others with his own
   30-1  funds;
   30-2                    (F)  paying a commission or fees to or dividing a
   30-3  commission or fees with anyone not licensed as a real estate broker
   30-4  or salesman in this state or in any other state for compensation
   30-5  for services as a real estate agent;
   30-6                    (G)  failing to specify in a listing contract or
   30-7  in another contract in which the licensee agrees to perform
   30-8  services for which a license is required under this Act a definite
   30-9  termination date which is not subject to prior notice;
  30-10                    (H)  accepting, receiving, or charging an
  30-11  undisclosed commission, rebate, or direct profit on expenditures
  30-12  made for a principal;
  30-13                    (I)  soliciting, selling, or offering for sale
  30-14  real property under a scheme or program that constitutes a lottery
  30-15  or deceptive practice;
  30-16                    (J)  acting in the dual capacity of broker and
  30-17  undisclosed principal in a transaction;
  30-18                    (K)  guaranteeing, authorizing, or permitting a
  30-19  person to guarantee that future profits will result from a resale
  30-20  of real property;
  30-21                    (L)  placing a sign on real property offering it
  30-22  for sale, lease, or rent without the written consent of the owner
  30-23  or his authorized agent;
  30-24                    (M)  inducing or attempting to induce a party to
  30-25  a contract of sale or lease to break the contract for the purpose
  30-26  of substituting in lieu thereof a new contract;
  30-27                    (N)  negotiating or attempting to negotiate the
   31-1  sale, exchange, lease, or rental of real property with an owner,
   31-2  <or> lessor, buyer, or tenant, knowing that the owner, <or> lessor,
   31-3  buyer, or tenant had a written outstanding contract, granting
   31-4  exclusive agency in connection with the transaction <property> to
   31-5  another real estate broker;
   31-6                    (O)  offering real property for sale or for lease
   31-7  without the knowledge and consent of the owner or his authorized
   31-8  agent, or on terms other than those authorized by the owner or his
   31-9  authorized agent;
  31-10                    (P)  publishing, or causing to be published, an
  31-11  advertisement including, but not limited to, advertising by
  31-12  newspaper, radio, television, or display which is misleading, or
  31-13  which is likely to deceive the public, or which in any manner tends
  31-14  to create a misleading impression, or which fails to identify the
  31-15  person causing the advertisement to be published as a licensed real
  31-16  estate broker or agent;
  31-17                    (Q)  having knowingly withheld from or inserted
  31-18  in a statement of account or invoice, a statement that made it
  31-19  inaccurate in a material particular;
  31-20                    (R)  publishing or circulating an unjustified or
  31-21  unwarranted threat of legal proceedings, or other action;
  31-22                    (S)  establishing an association, by employment
  31-23  or otherwise, with an unlicensed person who is expected or required
  31-24  to act as a real estate licensee, or aiding or abetting or
  31-25  conspiring with a person to circumvent the requirements of this
  31-26  Act;
  31-27                    (T)  failing or refusing on demand to furnish
   32-1  copies of a document pertaining to a transaction dealing with real
   32-2  estate to a person whose signature is affixed to the document;
   32-3                    (U)  failing to advise a purchaser in writing
   32-4  before the closing of a transaction that the purchaser should
   32-5  either have the abstract covering the real estate which is the
   32-6  subject of the contract examined by an attorney of the purchaser's
   32-7  own selection, or be furnished with or obtain a policy of title
   32-8  insurance;
   32-9                    (V)  conduct which constitutes dishonest
  32-10  dealings, bad faith, or untrustworthiness;
  32-11                    (W)  acting negligently or incompetently in
  32-12  performing an act for which a person is required to hold a real
  32-13  estate license;
  32-14                    (X)  disregarding or violating a provision of
  32-15  this Act;
  32-16                    (Y)  failing within a reasonable time to deposit
  32-17  money received as escrow agent in a real estate transaction, either
  32-18  in trust with a title company authorized to do business in this
  32-19  state, or in a custodial, trust, or escrow account maintained for
  32-20  that purpose in a banking institution authorized to do business in
  32-21  this state;
  32-22                    (Z)  disbursing money deposited in a custodial,
  32-23  trust, or escrow account, as provided in Subsection (Y) before the
  32-24  transaction concerned has been consummated or finally otherwise
  32-25  terminated; or
  32-26                    (AA)  discriminating against an owner, potential
  32-27  purchaser, lessor, or potential lessee on the basis of race, color,
   33-1  religion, sex, national origin, or ancestry, including directing
   33-2  prospective home buyers or lessees interested in equivalent
   33-3  properties to different areas according to the race, color,
   33-4  religion, sex, national origin, or ancestry of the potential owner
   33-5  or lessee;
   33-6              (7)  the licensee has failed or refused on demand to
   33-7  produce a document, book, or record in his possession concerning a
   33-8  real estate transaction conducted by him for inspection by the
   33-9  commission or its authorized personnel or representative;
  33-10              (8)  the licensee has failed within a reasonable time
  33-11  to provide information requested by the commission as a result of a
  33-12  formal or informal complaint to the commission which would indicate
  33-13  a violation of this Act; or
  33-14              (9)  the licensee has failed without just cause to
  33-15  surrender to the rightful owner, on demand, a document or
  33-16  instrument coming into his possession.
  33-17        SECTION 13.  Subchapter C, Chapter 92, Property Code, is
  33-18  amended by adding Section 92.1031 to read as follows:
  33-19        Sec. 92.1031.  CONDITIONS FOR RETENTION OF SECURITY DEPOSIT
  33-20  OR RENT PREPAYMENT.  (a)  Except as provided in Subsection (b), a
  33-21  landlord who receives a security deposit or rent prepayment for a
  33-22  dwelling from a tenant who fails to occupy the dwelling according
  33-23  to a lease between the landlord and the tenant may not retain the
  33-24  security deposit or rent prepayment if:
  33-25              (1)  the tenant secures a replacement tenant
  33-26  satisfactory to the landlord and the replacement tenant occupies
  33-27  the dwelling on or before the commencement date of the lease; or
   34-1              (2)  the landlord secures a replacement tenant
   34-2  satisfactory to the landlord and the replacement tenant occupies
   34-3  the dwelling on or before the commencement date of the lease.
   34-4        (b)  If the landlord secures the replacement tenant, the
   34-5  landlord may retain and deduct from the security deposit or rent
   34-6  prepayment either:
   34-7              (1)  a sum agreed to in the lease as a lease
   34-8  cancellation fee; or
   34-9              (2)  actual expenses incurred by the landlord in
  34-10  securing the replacement, including a reasonable amount for the
  34-11  time of the landlord in securing the replacement tenant.
  34-12        SECTION 14.  Section 13 of this Act shall only apply to
  34-13  leases entered into after the effective date of this Act.
  34-14        SECTION 15.  (a)  The change in law made by Subsection (f),
  34-15  Section 24, The Real Estate License Act (Article 6573a, Vernon's
  34-16  Texas Civil Statutes), as added by Section 6 of this Act, applies
  34-17  only to an offense committed on or after the effective date of this
  34-18  Act.  For purposes of this section, an offense is committed before
  34-19  the effective date of this Act if any element of the offense occurs
  34-20  before that date.
  34-21        (b)  An offense committed before the effective date of this
  34-22  Act is governed by the law in effect when the offense was
  34-23  committed, and the former law is continued in effect for that
  34-24  purpose.
  34-25        SECTION 16.  The Texas Real Estate Commission shall adopt
  34-26  rules as required by Subsection (c), Section 24, The Real Estate
  34-27  License Act (Article 6573a, Vernon's Texas Civil Statutes), as
   35-1  added by Section 6 of this Act, not later than December 1, 1995.
   35-2        SECTION 17.  Sections 7 through 10 of this Act relating to
   35-3  smoke detectors take effect September 1, 1995, and apply only to a
   35-4  cause of action that accrues on or after that date.  Sections 1
   35-5  through 6 and 11 through 15 of this Act take effect January 1,
   35-6  1996.  A cause of action that accrued before the effective date of
   35-7  a section of this Act is governed by the law as it existed at the
   35-8  time the cause of action accrued, and that law is continued in
   35-9  effect for that purpose.
  35-10        SECTION 18.  The importance of this legislation and the
  35-11  crowded condition of the calendars in both houses create an
  35-12  emergency and an imperative public necessity that the
  35-13  constitutional rule requiring bills to be read on three several
  35-14  days in each house be suspended, and this rule is hereby suspended.