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78R133 AJA-D

By:  Coleman                                                      H.B. No. 688



A BILL TO BE ENTITLED

AN ACT

relating to the release of a mechanic's lien.                                 
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 53.157, Property Code, is amended to 
read as follows:    
	Sec. 53.157.  DISCHARGE OF LIEN.  (a)  A mechanic's lien or 
affidavit claiming a mechanic's lien filed under Section 53.052 may 
be discharged of record by:
		(1)  recording a lien release signed by the claimant 
under Section 53.152;  
		(2)  failing to institute suit to foreclose the lien in 
the county in which the property is located within the period 
prescribed by Section 53.158, 53.175, or 53.208;
		(3)  recording the original or certified copy of a 
final judgment or decree of a court of competent jurisdiction 
providing for the discharge;
		(4)  filing the bond and notice in compliance with 
Subchapter H;            
		(5)  filing the bond in compliance with Subchapter I;  
[or]
		(6)  recording a certified copy of the order removing 
the lien under Section 53.160 and a certificate from the clerk of 
the court that states that no bond or deposit as described by 
Section 53.161 was filed by the claimant within 30 days after the 
date the order was entered; or
		(7)  filing an affidavit under Subsection (b).                         
	(b)  If the owner of the property against which a lien is 
claimed and perfected under Subchapter C files an affidavit with 
the county clerk of the county in which the property is located 
stating that the claimant's lien affidavit is false and that the 
lien claimed is not valid, the lien may be discharged of record on 
the 95th day after the date the owner's affidavit is filed unless 
the claimant files a second affidavit of lien as provided by Section 
53.052 before that date.  An owner may file an affidavit under this 
subsection only once for each lien claimed.
	(c)  An owner who files an affidavit under Subsection (b) 
must send a copy of the affidavit by registered or certified mail to 
the claimant at the claimant's last known business or residence 
address not later than the fifth day after the date the owner's 
affidavit is filed.
	(d)  If a lien is discharged under Subsection (b), the 
claimant may reinstate the lien by filing a second affidavit of lien 
if:
		(1)  the claimant proves that the owner did not provide 
the notice required under Subsection (c); and
		(2)  the period for bringing suit to foreclose the lien 
under Section 53.158 has not expired.
	SECTION 2.  Section 53.158, Property Code, is amended by 
adding Subsection (c) to read as follows:
	(c)  If an owner's affidavit is filed under Section 
53.157(b), the period for bringing suit to foreclose a lien under 
this section is tolled until the date on which the claimant files a 
second affidavit of lien as provided by that subsection.
	SECTION 3.  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) is the earliest date [of recording of] an 
affidavit of lien is filed with respect to that 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) with respect to other 
mechanic's liens is determined by the date of recording.  A lien 
created under Section 53.021(c) or (d) 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 4.  The change in law made by this Act applies only 
to a lien that attaches on or after the effective date of this Act.  
A lien that attaches before the effective date of this Act is 
governed by the law in effect immediately before that date, and that 
law is continued in effect for that purpose.
	SECTION 5.  This Act takes effect September 1, 2003.