BILL ANALYSIS

H.B. 1162

By: Bonnen

Business & Industry

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Currently, a landlord attempting to provide a tenant a notice to vacate the premises occupied by the tenant may affix a notice to vacate sign on the outside of the main entry door to the premises, including the entrance door of a commercial property in a situation where a business owner refuses to pay rent.  These signs can have an adverse effect on a new business that is not subject to the notice to vacate and is leasing the commercial property and occupying the space.  H.B. 1162 seeks to address such adverse affects by prohibiting a landlord from affixing the notice to the door of a commercial premises if the current tenant is not subject to the notice and provides for alternate means of delivery to the appropriate tenant.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 1162 amends the Property Code to prohibit a notice to vacate from being affixed to the door of a commercial premises occupied by a tenant who is not subject to the notice to vacate.  The bill authorizes such notice to be provided by personal delivery to the tenant to whom the notice is being provided; by regular, registered, or certified mail, return receipt requested, to the premises in question; or by mail to the tenant's last known mailing address other than the address of the premises, return receipt requested. 

EFFECTIVE DATE

September 1, 2011.