79S10150 AJA-F

By:  Duncan                                                       S.B. No. 23 



A BILL TO BE ENTITLED

AN ACT

relating to the remedy provided for failure to disclose certain 
information in certain residential construction transactions.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 27.007, Property Code, is amended by 
amending Subsection (b) and adding Subsection (c) to read as 
follows:
	(b)  A [If a contract does not contain the notice required by 
this section, the] claimant may recover from the contractor a civil 
penalty of $500 in addition to any other remedy provided by this 
chapter if:
		(1)  the contract does not contain the notice required 
by this section; and
		(2)  the claimant proves actual damages were 
proximately caused by the construction defect.
	(c)  A court may not certify an action brought under this 
section as a class action.
	SECTION 2.  The change in law made by Subsection (b), Section 
27.007, Property Code, as amended by this Act, applies only to a 
cause of action that is brought on or after the effective date of 
this Act.
	SECTION 3.  The change in law made by Subsection (c), Section 
27.007, Property Code, as added by this Act, applies only to the 
certification of a class action on or after July 1, 2005.  
Certification of a class action before July 1, 2005, is governed by 
the law in effect immediately before the effective date of this Act, 
and that law is continued in effect for that purpose.
	SECTION 4.  This Act takes effect immediately if it receives 
a vote of two-thirds of all the members elected to each house, as 
provided by Section 39, Article III, Texas Constitution.  If this 
Act does not receive the vote necessary for immediate effect, this 
Act takes effect on the 91st day after the last day of the 
legislative session.