SRC-BWC S.B. 457 77(R)   BILL ANALYSIS


Senate Research Center   S.B. 457
77R605 CAS-FBy: Brown, J. E. "Buster"
State Affairs
5/3/2001
As Filed


DIGEST AND PURPOSE 

In 1997, the Texas Legislature enacted S.B. 1678 which made several changes
to landlord/tenant law. It primarily applied to residential landlords and
tenants.  In part, the law imposed a duty for landlords to mitigate their
damages if a tenant abandons leased property.  That provision was codified
in Section 91.006 of the Property Code, which applies to both residential
and commercial landlords.  As proposed, S.B. 457 codifies the revised
opinion of the Texas Supreme Court in the case of Austin Hill Country
Realty, Inc. v. Palisades Plaza, Inc.  The opinion specifically excluded
commercial landlords and tenants who contract from the duty to mitigate
damages. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a
state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 92A, Property Code, by adding Section 92.015, as
follows: 

Sec. 92.015.  LANDLORD'S DUTY TO MITIGATE DAMAGES.  Provides that a
landlord has a duty to mitigate damages if a tenant abandons the leased
premises in violation of the lease. Provides that a provision of a lease
that purports to waive a right or to exempt a landlord from a liability or
duty under this section is void. 

SECTION 2.  Repealer:  Section 91.006 (Landlord's Duty to Mitigate
Damages), Property Code. 

SECTION3.  Effective date:  upon passage.