83R23394 DDT-D
 
  By: Johnson H.B. No. 2696
 
  Substitute the following for H.B. No. 2696:
 
  By:  Rodriguez of Travis C.S.H.B. No. 2696
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to requiring a home inspection report as a condition of a
  residential service contract.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter G, Chapter 1303, Occupations Code, is
  amended by adding Section 1303.305 to read as follows:
         Sec. 1303.305.  HOME INSPECTION REPORT REQUIREMENT AND
  CERTAIN PAYMENT PROHIBITED. (a)  A residential service company may
  not require a homeowner, lessor, or renter to provide a home
  inspection report to the company after a residential service
  contract is entered into by the homeowner, lessor, or renter.
         (b)  If a residential service company requires a home
  inspection report before a residential service contract is entered
  into and declines the contract, the company may not collect any
  payment from the homeowner, lessor, or renter.
         (c)  A residential service company that requires a home
  inspection report may not deny a claim on any structural component,
  appliance, or system that is addressed in the home inspection
  report and included in the residential service contract unless the
  company gives the homeowner, lessor, or renter express notice of
  exclusion of the component, appliance, or system before the
  contract is entered into by the homeowner, lessor, or renter.
         SECTION 2.  The change in law made by this Act applies only
  to a contract entered into or renewed on or after the effective date
  of this Act. A contract entered into or renewed before that date 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 3.  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 September 1, 2013.