H.B. No. 208




AN ACT

relating to persons who may obtain a mechanic's lien on real 
property.      
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 53.021, Property Code, is amended by 
adding Subsection (e) to read as follows:
	(e)  A person who performs labor as part of, or who furnishes 
labor or materials for, the demolition of a structure on real 
property under or by virtue of a written contract with the owner of 
the property or the owner's agent, trustee, receiver, contractor, 
or subcontractor has a lien on the property.
	SECTION 2.  Section 53.124(e), Property Code, is amended to 
read as follows: 
	(e)  The time of inception of a lien that is created under 
Section 53.021(c), [or] (d), or (e) is the date of recording of an 
affidavit of lien under Section 53.052.  The priority of a lien 
claimed by a person entitled to a lien under Section 53.021(c), [or] 
(d), or (e) with respect to other mechanic's liens is determined by 
the date of recording.  A lien created under Section 53.021(c), [or] 
(d), or (e) is not valid or enforceable against a grantee or 
purchaser who acquires an interest in the real property before the 
time of inception of the lien.
	SECTION 3.  This Act takes effect September 1, 2003, and 
applies only to labor performed or labor or materials furnished 
under or by virtue of a contract entered into on or after that date.  
Labor performed or labor or materials furnished under or by virtue 
of a contract entered into before that date are governed by the law 
in effect immediately before that date, and that law is continued in 
effect for that purpose.




______________________________              ______________________________
 
   President of the Senate                               Speaker of the House      

	I certify that H.B. No. 208 was passed by the House on May 5, 
2003, by a non-record vote.

                                                  ______________________________
                                                     Chief Clerk of the House   

	I certify that H.B. No. 208 was passed by the Senate on May 
28, 2003, by the following vote:  Yeas 31, Nays 0.

                                                  ______________________________
                                                     Secretary of the Senate    



APPROVED:  _____________________                                            
 
                   Date                                                      




 
          _____________________                                          
 
                 Governor