HBA-MPM C.S.H.B. 549 77(R)    BILL ANALYSIS


Office of House Bill AnalysisC.S.H.B. 549
By: Nixon, Joe
Business & Industry
4/16/2001
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

Current law provides that a landlord has a duty to mitigate damages if a
tenant abandons leased premises in violation of a lease.  C.S.H.B. 549
clarifies that a landlord only has a duty to make reasonable efforts to
mitigate damages. 

RULEMAKING AUTHORITY

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

ANALYSIS

C.S.H.B. 549 amends the Property Code to clarify that a landlord has a duty
to make reasonable efforts to mitigate damages if a tenant abandons a
leased premises in violation of the lease.  The bill specifies that a
provision of a lease with an original term of five years or less that
purports to waive a right or exempt a landlord from liability or duty is
void. 

EFFECTIVE DATE

On passage, or if the Act does not receive the necessary vote, the Act
takes effect September 1, 2001. 

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.H.B. 549 differs from the original bill by stipulating that a landlord
make reasonable efforts to mitigate damages if a tenant abandons leased
premises in violation of a lease with an original term of five years or
less.  The original bill transferred provisions regarding a landlord's duty
to mitigate damages if a tenant abandons a leased premise in violation of a
lease from Chapter 91 to Chapter 92.