By Dukes                                              H.B. No. 2015
         76R867 PAM-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to regulating leasing in certain manufactured home
 1-3     communities and to procedures for taking possession of a
 1-4     manufactured home used as collateral; providing penalties.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  Title 8, Property Code, is amended by adding
 1-7     Chapter 94 to read as follows:
 1-8                  CHAPTER 94.  MANUFACTURED HOME TENANCIES
 1-9                      SUBCHAPTER A.  GENERAL PROVISIONS
1-10           Sec. 94.001.  DEFINITIONS.  In this chapter:
1-11                 (1)  "Landlord" means an owner or manager of a
1-12     manufactured home community, including an employee or agent of the
1-13     landlord.
1-14                 (2)  "Lease agreement" means an agreement between a
1-15     landlord and a tenant that establishes the terms, conditions,
1-16     rules, and other provisions for placing a manufactured home on the
1-17     premises of a manufactured home community.  A lease agreement
1-18     includes an agreement renewing the terms of a lease.
1-19                 (3)  "Manufactured home" has the meaning assigned by
1-20     Section 3, Texas Manufactured Housing Standards Act (Article 5221f,
1-21     Vernon's Texas Civil Statutes).
1-22                 (4)  "Manufactured home community" means a parcel of
1-23     land:
1-24                       (A)  on which four or more lots are offered for
 2-1     lease for installing and occupying manufactured homes; and
 2-2                       (B)  for which the primary use is for residential
 2-3     purposes.
 2-4                 (5)  "Premises" means a tenant's manufactured home lot,
 2-5     any area or facility the lease authorizes the tenant to use, and
 2-6     the appurtenances, grounds, and facilities held out for the use of
 2-7     tenants generally.
 2-8                 (6)  "Tenant" means a person who is authorized by a
 2-9     lease to occupy a lot in a manufactured home community.
2-10           Sec. 94.002.  APPLICABILITY.  (a)  This chapter applies only
2-11     to the relationship between landlords and tenants in a manufactured
2-12     home community.
2-13           (b)  Chapter 91 does not apply to this chapter.
2-14           Sec. 94.003.  WAIVER OF RIGHTS AND OBLIGATIONS.  A provision
2-15     in a lease agreement or a manufactured home community rule that
2-16     waives or limits a right granted to a tenant or an obligation
2-17     imposed on a landlord under this chapter is void and unenforceable.
2-18           Sec. 94.004.  LANDLORD'S RIGHT OF ENTRY.  (a)  Except as
2-19     provided by this section, the landlord may not enter a tenant's
2-20     manufactured home or the leased premises unless:
2-21                 (1)  the tenant is present and gives consent; or
2-22                 (2)  the tenant has previously given written consent.
2-23           (b)  The written consent under Subsection (a)(2) must specify
2-24     the date and time entry is permitted and is valid only for the date
2-25     and time specified.  The tenant may revoke the consent without
2-26     penalty at any time by notifying the landlord in writing that the
2-27     consent has been revoked.
 3-1           (c)  The landlord may enter the tenant's manufactured home in
 3-2     a reasonable manner and at a reasonable time if:
 3-3                 (1)  an emergency exists; or
 3-4                 (2)  the tenant abandons the manufactured home.
 3-5           (d)  The landlord may enter the lot leased to a tenant in a
 3-6     reasonable manner and at a reasonable time if:
 3-7                 (1)  an emergency exists;
 3-8                 (2)  the tenant abandons the manufactured home; or
 3-9                 (3)  maintenance of utilities, maintenance of the
3-10     premises, or protection of the manufactured home community is
3-11     required.
3-12           Sec. 94.005.  COMMON AREA FACILITIES.  Each common area
3-13     facility must be open or available to tenants at all reasonable
3-14     hours.  The landlord shall post the hours of operation or
3-15     availability of the common area facility in a conspicuous place at
3-16     the facility.
3-17           Sec. 94.006.  MANUFACTURED HOME COMMUNITY RULES.  (a)  A
3-18     landlord may adopt reasonable rules governing the use of the
3-19     manufactured home community premises, including rules to address a
3-20     bona fide emergency relating to the health and safety of the
3-21     tenants of the manufactured home community.
3-22           (b)  A manufactured home community rule is considered part of
3-23     the lease agreement.
3-24           Sec. 94.007.  TENANT MEETINGS.  A landlord may not interfere
3-25     with meetings by tenants of the manufactured home community
3-26     relating to manufactured home living or social or educational
3-27     issues.
 4-1           Sec. 94.008.  CASH RENTAL PAYMENTS.  (a)  A landlord shall
 4-2     accept a tenant's cash rental payment unless the lease requires the
 4-3     tenant to make rental payments by check, money order, or other
 4-4     traceable or negotiable instrument.
 4-5           (b)  A landlord who receives a cash rental payment shall:
 4-6                 (1)  provide the tenant with a written receipt; and
 4-7                 (2)  enter the payment date and amount in a record book
 4-8     maintained by the landlord.
 4-9           (c)  A tenant or a governmental entity or civic association
4-10     acting on the tenant's behalf may file suit against a landlord to
4-11     enjoin a violation of this section.
4-12           Sec. 94.009.  NOTICE TO TENANT AT PRIMARY RESIDENCE.  (a)
4-13     If, at the time of signing a lease or lease renewal, a tenant gives
4-14     written notice to the tenant's landlord that the tenant does not
4-15     occupy the leased premises as a primary residence and requests in
4-16     writing that the landlord send notices to the tenant at the
4-17     tenant's primary residence and provides to the landlord the address
4-18     of the tenant's primary residence, the landlord shall mail to the
4-19     tenant's primary residence all notices required by the lease
4-20     agreement, by this chapter, or by Chapter 24.
4-21           (b)  The tenant shall notify the landlord in writing of any
4-22     change in the tenant's primary residence address.  Oral notices of
4-23     change are insufficient.
4-24           (c)  A notice to a tenant's primary residence under
4-25     Subsection (a) may be sent by regular United States mail and is
4-26     considered as having been given on the date of postmark of the
4-27     notice.
 5-1           (d)  If there is more than one tenant on a lease, the
 5-2     landlord is not required under this section to send notices to the
 5-3     primary residence of more than one tenant.
 5-4           (e)  This section does not apply if notice is actually hand
 5-5     delivered to and received by a person occupying the leased
 5-6     premises.
 5-7           Sec. 94.010.  DISCLOSURE OF OWNERSHIP AND MANAGEMENT.  (a)  A
 5-8     landlord shall disclose to a tenant, or to any governmental
 5-9     official or employee acting in an official capacity, according to
5-10     this section:
5-11                 (1)  the name and either a street or post office box
5-12     address of the holder of record title, according to the deed
5-13     records in the county clerk's office, of the premises leased by the
5-14     tenant or inquired about by the governmental official or employee
5-15     acting in an official capacity; and
5-16                 (2)  if an entity located off-site from the
5-17     manufactured home community is primarily responsible for managing
5-18     the leased premises, the name and street address of that entity.
5-19           (b)  Disclosure to a tenant under Subsection (a) must be made
5-20     by:
5-21                 (1)  giving the information in writing to the tenant on
5-22     or before the seventh day after the date the landlord receives the
5-23     tenant's request for the information;
5-24                 (2)  continuously posting the information in a
5-25     conspicuous place in the manufactured home community or the office
5-26     of the on-site manager or on the outside of the entry door to the
5-27     office of the on-site manager on or before the seventh day after
 6-1     the date the landlord receives the tenant's request for the
 6-2     information; or
 6-3                 (3)  including the information in a copy of the
 6-4     tenant's lease or in written rules given to the tenant before the
 6-5     tenant requests the information.
 6-6           (c)  Disclosure of information to a tenant may be made under
 6-7     Subsection (b)(1) or (2) before the tenant requests the
 6-8     information.
 6-9           (d)  Disclosure of information to a governmental official or
6-10     employee must be made by giving the information in writing to the
6-11     official or employee on or before the seventh day after the date
6-12     the landlord receives the request from the official or employee for
6-13     the information.
6-14           (e)  A correction to the information may be made by any of
6-15     the methods authorized and must be made within the period
6-16     prescribed by this section for providing the information.
6-17           (f)  For the purposes of this section, an owner or property
6-18     manager may disclose either an actual name or names or an assumed
6-19     name if an assumed name certificate has been recorded with the
6-20     county clerk.
6-21           (g)  A landlord who provides information under this section
6-22     violates this section if:
6-23                 (1)  the information becomes incorrect because a name
6-24     or address changes; and
6-25                 (2)  the landlord fails to correct the information on
6-26     or before the 15th day after the date the information becomes
6-27     incorrect.
 7-1           Sec. 94.011.  LANDLORD'S AGENT FOR SERVICE OF PROCESS.  (a)
 7-2     In a lawsuit by a tenant to enforce a legal obligation of the owner
 7-3     as landlord of the manufactured home community, the owner's agent
 7-4     for service of process is determined according to this section.
 7-5           (b)  The owner's management company, on-site manager, or rent
 7-6     collector for the manufactured home community is the owner's
 7-7     authorized agent for service of process unless the owner's name and
 7-8     business street address have been furnished in writing to the
 7-9     tenant.
7-10           Sec. 94.012.  VENUE.  Venue for an action under this chapter
7-11     is governed by Section 15.0115, Civil Practice and Remedies Code.
7-12               (Sections 94.013-94.050 reserved for expansion
7-13                       SUBCHAPTER B.  LEASE AGREEMENT
7-14           Sec. 94.051.  INFORMATION TO BE PROVIDED TO PROSPECTIVE
7-15     TENANT.  At the time a prospective tenant enters the premises of a
7-16     manufactured home community to discuss a prospective vacancy, the
7-17     landlord shall give the tenant a copy of:
7-18                 (1)  the proposed lease agreement for the manufactured
7-19     home community; and
7-20                 (2)  the manufactured home community rules.
7-21           Sec. 94.052.  RIGHT TO CANCEL.  A tenant who executes a lease
7-22     agreement may cancel the agreement by notifying the landlord in
7-23     writing not later than the fifth day after the date the tenant
7-24     executes the agreement.
7-25           Sec. 94.053.  MINIMUM TERM OF LEASE.  A lease agreement must
7-26     be for a term of at least four years.
7-27           Sec. 94.054.  LEASE AMOUNT.  During the first four-year lease
 8-1     term, the landlord may set any rental amount, including an increase
 8-2     in the rental amount, provided that the amount or method of
 8-3     determining the increased amount is:
 8-4                 (1)  fully and clearly determinable and disclosed in
 8-5     the lease agreement; and
 8-6                 (2)  binding on the landlord for the term of the lease
 8-7     agreement.
 8-8           Sec. 94.055.  LEASE REQUIREMENTS AND DISCLOSURES.  (a)  A
 8-9     lease agreement must be:
8-10                 (1)  written in plain language;
8-11                 (2)  printed in at least 10-point type or legible
8-12     handwriting; and
8-13                 (3)  signed by the landlord and the tenant.
8-14           (b)  The landlord shall provide the tenant with a copy of the
8-15     lease agreement after the lease has been signed.
8-16           (c)  A lease agreement must contain the following
8-17     information:
8-18                 (1)  a description of the tenant's manufactured home
8-19     lot, the address or number of the lot, and the number and location
8-20     of any accompanying parking spaces;
8-21                 (2)  the lease term and a disclosure informing the
8-22     tenant of the tenant's right to a four-year renewal term as
8-23     provided by Section 94.057;
8-24                 (3)  a prominent disclosure informing the tenant of the
8-25     tenant's statutory right to cancel the lease agreement as provided
8-26     by Section 94.052;
8-27                 (4)  the monthly rental amount and the method for
 9-1     calculating the amount of any change in the rental amount during
 9-2     the lease term, including clear and realistic examples of how the
 9-3     calculation would apply in each year of the lease term or the
 9-4     specific amount of any change in the rental amount during the lease
 9-5     term;
 9-6                 (5)  any late charge or fee or charge for any service
 9-7     and facility and the method for calculating the amount of any
 9-8     change in the fee or charge during the lease term, including clear
 9-9     and realistic examples of how the calculation would apply in each
9-10     year of the lease term or the specific amount of any change in a
9-11     fee or charge during the lease term;
9-12                 (6)  the amount of any security deposit;
9-13                 (7)  a list of services and facilities the landlord
9-14     will provide;
9-15                 (8)  disclosure of the statutory warranty of
9-16     habitability provided by Section 94.151;
9-17                 (9)  a description of the landlord's maintenance
9-18     responsibilities;
9-19                 (10)  the name and telephone number of the person who
9-20     may be contacted for emergency  maintenance;
9-21                 (11)  the landlord's name and address for the delivery
9-22     of official notices;
9-23                 (12)  the name and address of the owner of the
9-24     manufactured home community;
9-25                 (13)  the penalty the landlord may impose for the
9-26     tenant's early termination as provided by Section 94.201;
9-27                 (14)  the grounds for eviction as provided by
 10-1    Subchapter E;
 10-2                (15)  a disclosure of the landlord's right to terminate
 10-3    the lease agreement if there is a change in the land use of the
 10-4    manufactured home community during the lease term as provided by
 10-5    Section 94.205;
 10-6                (16)  the manufactured home community rules;
 10-7                (17)  a prominent disclosure informing the tenant that
 10-8    Chapter 94, Property Code, governs certain rights granted to the
 10-9    tenant and obligations imposed on the landlord by law;
10-10                (18)  if there is a temporary zoning permit for the
10-11    land use of the manufactured home community, the date the zoning
10-12    permit expires; and
10-13                (19)  any other terms or conditions of occupancy.
10-14          (d)  A lease provision requiring an increase in rent or in
10-15    fees or charges during the lease term must be initialed by the
10-16    tenant or the provision is void.
10-17          (e)  A lease agreement that contains a provision that is
10-18    illegal or unconscionable is void.
10-19          Sec. 94.056.  STATUTORY LEASE TERMS IMPLIED AS MATTER OF LAW.
10-20    Each lease term required by this chapter is considered included in
10-21    a lease agreement as a matter of law.
10-22          Sec. 94.057.  RENEWAL OF LEASE.  (a)  At the expiration of a
10-23    lease agreement, the agreement is automatically renewed for a term
10-24    of four years with the same terms as the previous lease agreement
10-25    unless:
10-26                (1)  the tenant notifies the landlord not later than
10-27    the 30th day before the date the lease agreement terminates that
 11-1    the tenant intends to surrender the premises; or
 11-2                (2)  the landlord changes the lease terms as provided
 11-3    by this section.
 11-4          (b)  Six months before the date the lease agreement expires,
 11-5    the landlord shall offer the tenant a renewal lease agreement with
 11-6    a term of at least four years.  The renewal offer must disclose the
 11-7    proposed rental amount, any change in fees or charges, and any
 11-8    other changes in the lease or the manufactured home community rules
 11-9    for the renewal term.
11-10          Sec. 94.058.  PENALTY FOR LATE PAYMENT.  (a)  A landlord may
11-11    assess a penalty for late payment of rent or another fee or charge
11-12    if the payment is not remitted before the 16th day after the date
11-13    the payment is due.
11-14          (b)  The penalty for late payment may not exceed four percent
11-15    of the amount owed and may be imposed only once for each late
11-16    payment.
11-17          Sec. 94.059.  USE-BASED FEES AND CHARGES.  (a)  For purposes
11-18    of this section, a use-based fee or charge is a fee or charge for a
11-19    service or facility that is based on the amount of the tenant's use
11-20    of the service or facility.  A fee or charge is not use-based if a
11-21    tenant is assessed a fee or charge when the tenant does not use the
11-22    service or facility or if different tenants are assessed the same
11-23    fee or charge for using different levels of the service or
11-24    facility.
11-25          (b)  A landlord may not assess a fee or charge to a tenant,
11-26    other than the rental payment, unless the fee or charge is a
11-27    use-based fee or charge disclosed in the lease agreement.
 12-1          (c)  A use-based fee or charge may only be increased as
 12-2    disclosed in the lease agreement.  Any increase must be reasonably
 12-3    related to an increase in the landlord's costs for providing the
 12-4    service or facility.
 12-5          (d)  The following fees and charges are prohibited, and a
 12-6    provision in a lease agreement imposing the following fees or
 12-7    charges is void:
 12-8                (1)  an entrance and exit fee or charge that exceeds
 12-9    $30;
12-10                (2)  a fee or charge for a tenant's resale of a
12-11    manufactured home, assignment of the lease, or sublease of the
12-12    premises that exceeds $30; and
12-13                (3)  a fee or charge for renewing a lease.
12-14          Sec. 94.060.  ASSIGNMENT OF LEASE AND SUBLEASE.  (a)  Except
12-15    as provided by this section, a tenant may:
12-16                (1)  assign the lease agreement to the purchaser of the
12-17    tenant's manufactured home; or
12-18                (2)  sublease the manufactured home lot.
12-19          (b)  The tenant must provide the landlord with notice of an
12-20    assignment or sublease not later than the 30th day before the date
12-21    the assignment or sublease takes effect.  Not later than the
12-22    seventh day before the date the assignment or sublease takes
12-23    effect, the landlord may refuse to permit the assignment or
12-24    sublease if:
12-25                (1)  the landlord provides the tenant with a written
12-26    notice of the refusal that states the reasons for the refusal; and
12-27                (2)  the reason for the refusal complies with
 13-1    Subsection (c).
 13-2          (c)  The landlord may refuse to permit the assignment or
 13-3    sublease only if the assignee or sublessee:
 13-4                (1)  is financially unable to pay the lease amount; or
 13-5                (2)  would pose a hazard to the safety or interfere
 13-6    with the quiet enjoyment of the tenants of the manufactured home
 13-7    community.
 13-8          (d)  The landlord may not:
 13-9                (1)  refuse to permit an assignment or sublease because
13-10    of the age or condition of the manufactured home;
13-11                (2)  refuse to permit an assignment because the
13-12    assignment is from the tenant to the tenant's bona fide creditor;
13-13    or
13-14                (3)  impose an application or other fee on the
13-15    prospective assignee or sublessee.
13-16              (Sections 94.061-94.100 reserved for expansion
13-17                      SUBCHAPTER C.  SECURITY DEPOSIT
13-18          Sec. 94.101.  SECURITY DEPOSIT.  In this chapter, "security
13-19    deposit" means any advance of money, other than a rental
13-20    application deposit or an advance payment of rent, that is intended
13-21    primarily to secure performance under a lease of a lot in a
13-22    manufactured home community that has been entered into by a
13-23    landlord and a tenant.
13-24          Sec. 94.102.  SECURITY DEPOSIT PERMITTED.  (a)  At the time
13-25    the tenant executes the initial lease agreement, the landlord may
13-26    require a security deposit in an amount equal to no more than one
13-27    month's rent.
 14-1          (b)  The landlord shall keep accurate records relating to
 14-2    security deposits.
 14-3          Sec. 94.103.  OBLIGATION TO REFUND.  (a)  Except as provided
 14-4    by Section 94.104, the landlord shall refund the security deposit
 14-5    not later than the 30th day after the date the tenant surrenders
 14-6    the premises.
 14-7          (b)  The tenant's claim to the security deposit takes
 14-8    priority over the claim of any creditor of the landlord, including
 14-9    a trustee in bankruptcy.
14-10          Sec. 94.104.  RETENTION OF SECURITY DEPOSIT.  (a)  Before
14-11    returning the security deposit, the landlord may deduct unpaid
14-12    rent, damages, and charges for which the tenant is liable under the
14-13    lease agreement.
14-14          (b)  The landlord may retain a portion of the security
14-15    deposit if the tenant fails to surrender the premises in a
14-16    condition that is reasonably clean and free of debris.
14-17          (c)  The landlord may not retain any portion of a security
14-18    deposit to cover normal wear and tear.  In this subsection, "normal
14-19    wear and tear" means deterioration that results from intended use
14-20    of the premises, including breakage or malfunction due to age or
14-21    deteriorated condition, but the term does not include deterioration
14-22    that results from negligence, carelessness, accident, or abuse of
14-23    the premises, equipment, or chattels by the tenant, a member of the
14-24    tenant's household, or a guest or invitee of the tenant.
14-25          Sec. 94.105.  ACCOUNTING.  Not later than the 30th day after
14-26    the date the tenant surrenders the premises, the landlord shall
14-27    mail to the tenant at the tenant's most recent mailing address as
 15-1    reflected in the landlord's records the balance of the security
 15-2    deposit, if any, together with a written description and an
 15-3    itemized list of all deductions.
 15-4          Sec. 94.106.  LIABILITY OF LANDLORD.  A landlord who fails to
 15-5    comply with this subchapter is not entitled to recover amounts that
 15-6    may be due under this chapter and must immediately remit to the
 15-7    tenant the full amount of the security deposit.
 15-8              (Sections 94.107-94.150 reserved for expansion
 15-9        SUBCHAPTER D.  PREMISES CONDITION, MAINTENANCE, AND REPAIRS
15-10          Sec. 94.151.  WARRANTY OF HABITABILITY.  By executing a lease
15-11    agreement, the landlord covenants and warrants that the leased
15-12    premises is fit for human habitation.
15-13          Sec. 94.152.  LANDLORD'S MAINTENANCE OBLIGATIONS.  The
15-14    landlord shall:
15-15                (1)  comply with any code, statute, ordinance, and
15-16    administrative rule applicable to the manufactured home community;
15-17                (2)  maintain all common areas of the manufactured home
15-18    community in a clean and safe condition;
15-19                (3)  maintain in good working order appliances and
15-20    recreational facilities and all electrical, plumbing, and sanitary
15-21    systems provided by the landlord;
15-22                (4)  maintain all utility lines over which the landlord
15-23    has control to the point at which those lines connect to the
15-24    manufactured home;
15-25                (5)  maintain in a secure location individual mailboxes
15-26    for the tenants;
15-27                (6)  maintain roads within the manufactured home
 16-1    community in good and safe condition, including providing snow
 16-2    removal, adequate drainage, and water supply, and assume
 16-3    responsibility for any damage to a vehicle that is the direct
 16-4    result of an unrepaired or poorly maintained road within the
 16-5    manufactured home community;
 16-6                (7)  exterminate rodents and other pests dangerous to
 16-7    the health and safety of tenants in the common areas of the
 16-8    manufactured home community or in the interior of a manufactured
 16-9    home if the infestation in the home exists as a result of
16-10    infestation in the common areas;
16-11                (8)  maintain the premises as necessary to prevent the
16-12    accumulation of stagnant water and the detrimental effects of
16-13    moving water;
16-14                (9)  maintain the integrity of the foundation of the
16-15    tenant's manufactured home;
16-16                (10)  maintain the common areas so that those areas are
16-17    free from plant growth that is detrimental to the health of the
16-18    tenants; and
16-19                (11) remove garbage and other waste incidental to the
16-20    occupancy of the leased premises.
16-21          Sec. 94.153.  LANDLORD'S REPAIR OBLIGATIONS.  (a)  The
16-22    landlord shall make repairs the landlord is obligated to make as
16-23    provided by statute or by the lease agreement or enter into a
16-24    contract with a third party to make the repairs.
16-25          (b)  The landlord shall provide each tenant with the name and
16-26    telephone number of the person who may be contacted for emergency
16-27    repairs.
 17-1          Sec. 94.154.  TENANT'S REPAIR AND DEDUCT REMEDY.  (a)  If the
 17-2    landlord fails to comply with this subchapter, the tenant may
 17-3    notify the landlord of the tenant's intent to correct the condition
 17-4    at the landlord's expense.
 17-5          (b)  If the landlord does not correct the condition before
 17-6    the 16th day after the date the tenant provides the notice under
 17-7    Subsection (a) or more promptly as emergency conditions reasonably
 17-8    require, the tenant may have the condition repaired or remedied by
 17-9    a contractor and, after submitting to the landlord an itemized
17-10    statement, deduct the actual and reasonable cost of the work from a
17-11    subsequent rent payment.
17-12          (c)  The tenant may recover damages as provided by Subchapter
17-13    I in addition to the remedy provided by this section.
17-14              (Sections 94.155-94.200 reserved for expansion
17-15           SUBCHAPTER E.  TERMINATION, EVICTION, AND FORECLOSURE
17-16          Sec. 94.201.  LANDLORD'S REMEDY FOR EARLY TERMINATION.  (a)
17-17    Except as provided by Subsection (b), the maximum amount a landlord
17-18    may recover as damages for a tenant's early termination of a lease
17-19    agreement is an amount equal to three months' rent.
17-20          (b)  If the tenant's leased premises is reoccupied before the
17-21    21st day after the date the tenant surrenders the premises, the
17-22    maximum amount the landlord may obtain as damages is an amount
17-23    equal to one month's rent.
17-24          Sec. 94.202.  LANDLORD'S DUTY TO MITIGATE DAMAGES.  (a)  A
17-25    landlord has a duty to mitigate damages if a tenant abandons the
17-26    leased premises in violation of the lease.
17-27          (b)  A provision of a lease that purports to waive a right or
 18-1    to exempt a landlord from a liability or duty under this section is
 18-2    void.
 18-3          Sec. 94.203.  LANDLORD'S TERMINATION OF LEASE PERMITTED IN
 18-4    LIMITED CIRCUMSTANCES.  A landlord may terminate or refuse to renew
 18-5    a lease agreement only as provided by this subchapter.
 18-6          Sec. 94.204.  EVICTION PROCEDURES GENERALLY.  (a)  A landlord
 18-7    may prevent a tenant from entering the leased premises,  evict a
 18-8    tenant, or require the removal of a manufactured home from the
 18-9    leased premises only after obtaining a writ of possession under
18-10    Chapter 24.
18-11          (b)  In addition to making the determinations required in a
18-12    forcible detainer action under Chapter 24, the court shall
18-13    determine if the grounds for eviction as provided by this
18-14    subchapter are established.
18-15          (c)  If the court finds that the landlord initiated the
18-16    eviction proceeding to retaliate against the tenant in violation of
18-17    Section 94.302, the court may not approve the eviction of the
18-18    tenant.
18-19          (d)  Notwithstanding other law, a court may not issue a writ
18-20    of possession in favor of  a landlord before the 45th day after the
18-21    date the judgment for possession is rendered.
18-22          (e)  Not later than the 10th day after the date a judgment
18-23    for possession is rendered in favor of the landlord, the landlord
18-24    shall send written notice that the judgment has been rendered to
18-25    the owner of the manufactured home if the tenant is not the owner
18-26    and if the landlord is given written notice of the owner's name and
18-27    address.
 19-1          (f)  If, after executing a writ of possession for the leased
 19-2    premises, the landlord removes the manufactured home from the
 19-3    leased premises, the landlord not later than the 10th day after the
 19-4    date the manufactured home is removed shall send a written notice
 19-5    regarding the location of the manufactured home to the tenant at
 19-6    the tenant's most recent mailing address as reflected in the
 19-7    landlord's records and, if different, to the owner if the landlord
 19-8    is given written notice of the owner's name and address.
 19-9          Sec. 94.205.  TERMINATION FOR CHANGE IN LAND USE.  (a)  A
19-10    landlord may terminate a lease agreement to change the manufactured
19-11    home community's land use only if:
19-12                (1)  not later than the 12th month before the date the
19-13    land use changes, the landlord sends notice to the tenant and, if
19-14    different, to the owner of the manufactured home:
19-15                      (A)  specifying the date that the land use will
19-16    change; and
19-17                      (B)  informing the tenant and owner that the
19-18    owner may relocate the manufactured home as provided by this
19-19    section;
19-20                (2)  not later than the 12th month before the date the
19-21    land use changes, the landlord posts in a conspicuous place in the
19-22    manufactured home community a notice stating that the land use will
19-23    change and specifying the date that the land use will change;
19-24                (3)  the landlord compensates or relocates the tenant
19-25    and, if different, the owner as provided by this section; and
19-26                (4)  the landlord has taken action to change the land
19-27    use to a use other than use as a manufactured home community for at
 20-1    least a two-year period.
 20-2          (b)  The landlord is required to give the owner of the
 20-3    manufactured home notice under Subsection (a)(1) only if the
 20-4    landlord is given written notice of the name and address of the
 20-5    owner.
 20-6          (c)  Not later than the sixth month after the date the tenant
 20-7    and, if different, the owner receive notice of the changed land use
 20-8    as provided by Subsection (a)(1), the owner may:
 20-9                (1)  relocate the home as provided by Subsection (d);
20-10    and
20-11                (2)  select any date for the relocation if that date
20-12    occurs before the date the land use changes.
20-13          (d)  If the owner of the manufactured home chooses to
20-14    relocate the manufactured home, the landlord shall relocate the
20-15    home at the landlord's expense to any site designated by the owner
20-16    that is located within a 100-mile radius of the manufactured home
20-17    community. The landlord's duty to relocate includes:
20-18                (1)  disconnecting and transporting the home to the new
20-19    location;
20-20                (2)  establishing the home, including connecting the
20-21    home to utilities and performing any other site-related activities
20-22    such that the home is in substantially the same condition as before
20-23    the relocation;
20-24                (3)  making any repairs to the home for damages that
20-25    occur during the relocation; and
20-26                (4)  providing suitable substitute lodging for the
20-27    tenant until the relocation is completed.
 21-1          Sec. 94.206.  TERMINATION AND EVICTION FOR VIOLATION OF
 21-2    MANUFACTURED HOME COMMUNITY RULE.  A landlord may terminate the
 21-3    lease agreement and evict a tenant for a violation of a
 21-4    manufactured home community rule if:
 21-5                (1)  the rule is reasonable; and
 21-6                (2)  the tenant's violation of the rule:
 21-7                      (A)  is likely to continue or reoccur; and
 21-8                      (B)  would have a significant adverse impact on
 21-9    the manufactured home community.
21-10          Sec. 94.207.  TERMINATION AND EVICTION FOR DISORDERLY OR
21-11    CRIMINAL CONDUCT.  A landlord may terminate the lease agreement and
21-12    evict a tenant for engaging in disorderly or criminal conduct if:
21-13                (1)  the conduct:
21-14                      (A)  disrupts the quiet enjoyment of other
21-15    tenants in the manufactured home community;
21-16                      (B)  endangers other tenants or the manufactured
21-17    home community  personnel; or
21-18                      (C)  causes substantial damage to the
21-19    manufactured home community premises; and
21-20                (2)  there is a likelihood that future conduct would
21-21    also be grounds for eviction under this section.
21-22          Sec. 94.208.  TERMINATION AND EVICTION FOR NONPAYMENT OF
21-23    RENT.  (a)  A landlord may terminate the lease agreement and evict
21-24    a tenant if:
21-25                (1)  the tenant fails to timely pay rent;
21-26                (2)  the landlord notifies the tenant in writing that
21-27    the rent is delinquent; and
 22-1                (3)  the tenant has not tendered the delinquent payment
 22-2    to the landlord before the 21st day after the date the tenant
 22-3    receives the notice.
 22-4          (b)  A landlord may not terminate the lease agreement and
 22-5    evict the tenant if the tenant fails to timely pay a fee or charge,
 22-6    including a late charge, required under the lease agreement.
 22-7          (c)  A payment made by a tenant to a landlord is attributed
 22-8    first to any delinquent rent payment, then to the current rent
 22-9    payment, and last to any fee or charge, including a late charge.
22-10          (d)  If a court renders a judgment for possession in favor of
22-11    the landlord based solely on nonpayment of rent, the tenant may
22-12    cure the default and reinstate the lease by paying into the court
22-13    registry an amount equal to the delinquent rent payment and any
22-14    fees and costs owed as determined by the court.  If the tenant
22-15    cures the default as provided by this subsection, the judgment for
22-16    possession is released and a writ of possession in favor of the
22-17    landlord may not be issued.
22-18          Sec. 94.209.  AFFIRMATIVE DEFENSE TO EVICTION FOR NONPAYMENT
22-19    OF RENT.  (a)  It is an affirmative defense in an eviction action
22-20    for nonpayment of rent that the landlord has breached the statutory
22-21    warranty of habitability,  breached a provision of the lease
22-22    agreement, or violated this subchapter.
22-23          (b)  A tenant who establishes that the landlord breached the
22-24    statutory warranty of habitability,  breached a provision of the
22-25    lease agreement, or violated this subchapter may recover damages,
22-26    including:
22-27                (1)  an amount equal to the reduction in the fair
 23-1    market rental value of the leased premises that results from the
 23-2    breach or violation;
 23-3                (2)  any amount reasonably spent by the tenant to
 23-4    repair defects in the leased premises; and
 23-5                (3)  any damages permitted under Section 94.351.
 23-6              (Sections 94.210-94.250 reserved for expansion
 23-7        SUBCHAPTER F.  SALE OR LEASE OF MANUFACTURED HOME COMMUNITY
 23-8          Sec. 94.251.  NOTICE OF SALE OR LEASE.  (a)  A landlord shall
 23-9    notify the tenants of the manufactured home community of:
23-10                (1)  a listing of the manufactured home community with
23-11    a realtor;
23-12                (2)  an advertisement or other public notice, including
23-13    a foreclosure notice, that the manufactured home community is for
23-14    sale or lease; or
23-15                (3)  a bona fide offer to purchase or lease the
23-16    manufactured home community that the  landlord intends to accept.
23-17          (b)  The landlord shall provide the notice under Subsection
23-18    (a) not later than the seventh day after the date an event
23-19    described by Subsection (a) occurs.
23-20          Sec. 94.252.  TENANT'S RIGHT OF FIRST REFUSAL.  (a)  Except
23-21    as provided by Subsection (d), tenants of the manufactured home
23-22    community have the right of first refusal to purchase or lease the
23-23    manufactured home community if:
23-24                (1)  not later than the 60th day after the date the
23-25    landlord provides the notice under Subsection (a), the tenants
23-26    submit a proposed purchase or lease agreement with substantially
23-27    equivalent terms and conditions as the offer to purchase or lease
 24-1    that the landlord intends to accept; and
 24-2                (2)  not later than the 60th day after the date the
 24-3    purchase or lease agreement is submitted, the tenants:
 24-4                      (A)  tender the purchase amount or the
 24-5    appropriate lease amount; or
 24-6                      (B)  obtain the necessary financing to purchase
 24-7    or lease the manufactured home community.
 24-8          (b)  The landlord may not unreasonably refuse to enter into
 24-9    or unreasonably delay the execution of a purchase or lease
24-10    agreement with the tenants who have complied with this section.
24-11    The landlord may require tenants offering to lease the manufactured
24-12    home community to place in escrow an amount necessary to pay the
24-13    lease for a period of no more than one year from the effective date
24-14    of the lease agreement.
24-15          (c)  The right of first refusal authorized by this section
24-16    applies to:
24-17                (1)  each substantially different bona fide offer to
24-18    purchase or lease the manufactured home community; and
24-19                (2)  each substantially equivalent bona fide offer to
24-20    purchase or lease the manufactured home community that is made no
24-21    earlier than the 90th day after the date of the previous
24-22    substantially equivalent offer.
24-23          (d)  This section does not apply to:
24-24                (1)  a governmental taking by eminent domain or
24-25    negotiated purchase;
24-26                (2)  a foreclosure action;
24-27                (3)  a transfer by gift, devise, or operation of law;
 25-1    or
 25-2                (4)  a sale to a person who would be entitled to an
 25-3    interest in the property if the landlord died intestate.
 25-4          Sec. 94.253.  AFFIDAVIT OF COMPLIANCE.  If the tenants of the
 25-5    manufactured home community are not able to purchase or lease the
 25-6    manufactured home community, the landlord who sold or leased the
 25-7    property shall, not later than the seventh day after the date the
 25-8    sale or lease agreement is executed:
 25-9                (1)  execute an affidavit stating the facts that
25-10    demonstrate that the landlord complied with this section; and
25-11                (2)  file the affidavit with the county clerk of each
25-12    county in which all or part of the property is located.
25-13              (Sections 94.254-94.300 reserved for expansion
25-14                      SUBCHAPTER G.  PROHIBITED ACTS
25-15          Sec. 94.301.  UNFAIR PRACTICES.  (a)  A landlord may
25-16    not  engage in unfair or deceptive acts or practices or unfair
25-17    methods of competition.
25-18          (b)  A violation of this section is considered a deceptive
25-19    trade practice for purposes of Subchapter E, Chapter 17, Business &
25-20    Commerce Code.
25-21          Sec. 94.302.  RETALIATORY CONDUCT.  (a)  A landlord may not
25-22    retaliate against a tenant after the tenant:
25-23                (1)  has complained or expressed an intention to
25-24    complain to a governmental agency regarding a condition in the
25-25    manufactured home community;
25-26                (2)  has made a complaint in good faith to the
25-27    landlord;
 26-1                (3)  has filed or expressed an intention to file a
 26-2    civil or administrative action against the landlord;
 26-3                (4)  has organized or joined a tenant association; or
 26-4                (5)  has performed or expressed an intention to perform
 26-5    any other act to assert, protect, or invoke the protection of a
 26-6    right granted to tenants by the lease or by federal, state, or
 26-7    local law.
 26-8          (b)  A landlord creates a rebuttable presumption that the
 26-9    landlord is retaliating against a tenant if, within six months
26-10    after the date the tenant has taken an action described by
26-11    Subsection (a), the landlord:
26-12                (1)  files an eviction action, other than for
26-13    nonpayment of rent;
26-14                (2)  deprives the tenant of the use of the leased
26-15    premises, other than for reasons authorized by law;
26-16                (3)  decreases services to the tenant;
26-17                (4)  increases the tenant's rent or terminates the
26-18    tenant's lease;
26-19                (5)  refuses or threatens to refuse to renew the
26-20    tenant's lease;
26-21                (6)  files or threatens to file a civil action against
26-22    the tenant;
26-23                (7)  changes a manufactured home community rule; or
26-24                (8)  engages in bad faith in conduct that materially
26-25    interferes with the tenant's rights under the lease.
26-26          Sec. 94.303.  RESTRICTION ON CHOICE OF PROVIDER.  (a)  A
26-27    landlord may not:
 27-1                (1)  restrict the choice of providers from whom a
 27-2    tenant may purchase goods or services; or
 27-3                (2)  engage in any conduct that discourages a tenant
 27-4    from selecting the provider of the tenant's choice.
 27-5          (b)  This subsection does not apply to:
 27-6                (1)  a nondiscriminatory prohibition against sales
 27-7    solicitations within the manufactured home community; or
 27-8                (2)  site-maintenance services, including lawn care and
 27-9    snow removal, performed by the landlord if the tenant fails to
27-10    fulfill the tenant's site-maintenance obligations under the lease
27-11    agreement.
27-12          (c)  For purposes of Subsection (b)(2), the landlord may not
27-13    impose a charge for site-maintenance services performed by the
27-14    landlord unless the tenant, if available, is given notice and a
27-15    reasonable opportunity to perform the tenant's obligation under the
27-16    lease agreement.  Any charge for site-maintenance services
27-17    authorized under this subsection must be:
27-18                (1)  reasonable;
27-19                (2)  disclosed in the lease agreement; and
27-20                (3)  limited to the landlord's actual costs for
27-21    providing the site-maintenance service.
27-22          (d)  A landlord who provides cable or other television
27-23    services at a charge above that prevailing in the vicinity creates
27-24    a presumption that a manufactured home community rule restricting
27-25    antennas or otherwise restricting a tenant's access or choice of
27-26    television service is void.
27-27          Sec. 94.304.  RESTRICTION ON SALE OF MANUFACTURED HOME.  A
 28-1    landlord may not:
 28-2                (1)  prohibit the owner of a manufactured home located
 28-3    on the leased premises from selling the manufactured home;
 28-4                (2)  interfere with the sale of a manufactured home
 28-5    located on the leased premises;
 28-6                (3)  require the owner of the manufactured home to
 28-7    remove the manufactured home from the lot solely because of the
 28-8    sale of the home;
 28-9                (4)  limit the sale of a manufactured home because of
28-10    the home's age or physical condition;
28-11                (5)  require the owner of a manufactured home located
28-12    on the leased premises to contract with the landlord to act as
28-13    agent or broker in the sale of a manufactured home located on the
28-14    leased premises;
28-15                (6)  require the owner to pay a commission or fee from
28-16    the sale of a manufactured home located on the leased premises; or
28-17                (7)  place unreasonable, unfair, or discriminatory
28-18    restrictions:
28-19                      (A)  on a "For Sale" sign displayed in the
28-20    manufactured home community; or
28-21                      (B)  on access to the manufactured home community
28-22    by a prospective purchaser or a realtor.
28-23              (Sections 94.305-94.350 reserved for expansion
28-24                          SUBCHAPTER H.  REMEDIES
28-25          Sec. 94.351.  TENANT'S REMEDIES.  (a)  A person may recover
28-26    from a landlord who violates this chapter:
28-27                (1)  actual damages;
 29-1                (2)  a civil penalty in an amount equal to two months'
 29-2    rent and $500; and
 29-3                (3)  reasonable attorney's fees and costs.
 29-4          (b)  If the court finds that a landlord recklessly violated
 29-5    this chapter or acted in bad faith, the court shall award an amount
 29-6    equal to at least treble the damages awarded under Subsection (a)
 29-7    and may award additional punitive damages.  A landlord who attempts
 29-8    to unlawfully evict a tenant, terminate a tenant's utility service,
 29-9    or prevent a tenant from entering the tenant's leased premises is
29-10    presumed to have acted in bad faith, knowingly, or recklessly.
29-11          (c)  The court may order:
29-12                (1)  appropriate injunctive relief to prevent a
29-13    violation or threatened violation of this chapter; and
29-14                (2)  any other appropriate equitable relief, including
29-15    the appointment of a receiver to operate the manufactured home
29-16    community.
29-17          (d)  A person has a lien against the property on which the
29-18    manufactured home community is located for:
29-19                (1)  any amount owed the tenant under the lease;
29-20                (2)  any amount owed to the tenant under this chapter;
29-21    and
29-22                (3)  reasonable attorney's fees and costs associated
29-23    with enforcing the lien.
29-24          Sec. 94.352.  LANDLORD'S REMEDIES.  If the court finds that a
29-25    tenant filed or prosecuted a suit under this chapter in bad faith
29-26    or for purposes of harassment, the court shall award the landlord:
29-27                (1)  an amount equal to one month's rent and $500; and
 30-1                (2)  reasonable attorney's fees and costs associated
 30-2    with defending the action.
 30-3          Sec. 94.353.  STATE REMEDIES.  (a)  If a landlord has
 30-4    violated or is threatening to violate this chapter, the attorney
 30-5    general or the district or county attorney for a county in which
 30-6    all or part of the manufactured home community is located may
 30-7    institute an action for:
 30-8                (1)  injunctive relief;
 30-9                (2)  a civil penalty in the amount of $5,000 for each
30-10    violation or threatened violation; and
30-11                (3)  restitution on behalf of a tenant injured by a
30-12    violation.
30-13          (b)  The court shall award reasonable attorney's fees and
30-14    costs to the state if the state prevails in an action under
30-15    Subsection (a).
30-16          (c)  The attorney general or the district or county attorney
30-17    for a county in which all or part of the manufactured home
30-18    community is located may request the court to appoint a receiver to
30-19    operate the manufactured  home community if:
30-20                (1)  the landlord is financially unable to operate the
30-21    manufactured home community; or
30-22                (2)  the appointment is the most effective means of
30-23    ensuring compliance with a court order.
30-24          Sec. 94.354.  CUMULATIVE REMEDIES.  The provisions of this
30-25    chapter are not exclusive and are in addition to any other
30-26    procedure or remedy provided by other law.
30-27          Sec. 94.355.  ADDITIONAL ENFORCEMENT BY LOCAL ORDINANCE.
 31-1    This chapter does not prohibit the adoption of a local ordinance
 31-2    that provides for additional enforcement of this chapter if the
 31-3    local ordinance is consistent with this chapter.
 31-4          SECTION 2.  Section 9.503, Business & Commerce Code, is
 31-5    amended to read as follows:
 31-6          Sec. 9.503.  SECURED PARTY'S RIGHT TO TAKE POSSESSION AFTER
 31-7    DEFAULT.  (a)  Unless otherwise agreed a secured party has on
 31-8    default the right to take possession of the collateral.
 31-9          (b)  In taking possession a secured party:
31-10                (1)  must proceed by judicial process if the collateral
31-11    is a manufactured home as defined by Section 94.001, Property Code;
31-12    and
31-13                (2)  may proceed without judicial process if this can
31-14    be done without breach of the peace or may proceed by action in all
31-15    other circumstances.
31-16          (c)  If the security agreement so provides the secured party
31-17    may require the debtor to assemble the collateral and make it
31-18    available to the secured party at a place to be designated by the
31-19    secured party which is reasonably convenient to both parties.
31-20          (d)  Without removal a secured party may render equipment
31-21    unusable, and may dispose of collateral on the debtor's premises
31-22    under Section 9.504.
31-23          SECTION 3.  This Act takes effect September 1, 2000.
31-24          SECTION 4.  (a)  The changes in law made by Chapter 94,
31-25    Property Code, as added by this Act, apply only to a lease
31-26    agreement entered into on or after the effective date of this Act.
31-27    A lease agreement entered into before the effective date of this
 32-1    Act is governed by the law in effect when the lease agreement was
 32-2    entered into, and the former law is continued in effect for that
 32-3    purpose.
 32-4          (b)  The change in law made by Section 9.503, Business &
 32-5    Commerce Code, as amended by this Act, applies only to a default
 32-6    that occurs on or after the effective date of this Act. A default
 32-7    that occurred before the effective date of this Act is governed by
 32-8    the law in effect when the default occurred, and the former law is
 32-9    continued in effect for that purpose.
32-10          SECTION 5.  The importance of this legislation and the
32-11    crowded condition of the calendars in both houses create an
32-12    emergency and an imperative public necessity that the
32-13    constitutional rule requiring bills to be read on three several
32-14    days in each house be suspended, and this rule is hereby suspended.