| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to adjudication of claims arising from certain written |
|
|
contracts with state agencies. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 114.003, Civil Practice and Remedies |
|
|
Code, is amended to read as follows: |
|
|
Sec. 114.003. WAIVER OF IMMUNITY TO SUIT FOR CERTAIN |
|
|
CLAIMS. A state agency that is authorized by statute or the |
|
|
constitution to enter into a contract and that enters into a |
|
|
contract subject to this chapter waives sovereign immunity to suit |
|
|
for the purpose of adjudicating a claim for breach [of an express
|
|
|
provision] of the contract, subject to the terms and conditions of |
|
|
this chapter. |
|
|
SECTION 2. Section 114.004, Civil Practice and Remedies |
|
|
Code, is amended to read as follows: |
|
|
Sec. 114.004. LIMITATIONS ON ADJUDICATION AWARDS. (a) The |
|
|
total amount of money awarded in an adjudication brought against a |
|
|
state agency for breach [of an express provision] of a contract |
|
|
subject to this chapter is limited to the following: |
|
|
(1) the balance due and owed by the state agency under |
|
|
the contract as it may have been amended, including any amount owed |
|
|
as compensation for the increased cost to perform the work as a |
|
|
direct result of owner-caused delays or acceleration [if the
|
|
|
contract expressly provides for that compensation]; |
|
|
(2) the amount owed for written change orders; |
|
|
(3) reasonable and necessary attorney's fees that are |
|
|
equitable and just [based on an hourly rate that are equitable and
|
|
|
just if the contract expressly provides that recovery of attorney's
|
|
|
fees is available to all parties to the contract]; and |
|
|
(4) interest at the rate specified by the contract or, |
|
|
if a rate is not specified, the rate for postjudgment interest under |
|
|
Section 304.003(c), Finance Code, but not to exceed 10 percent. |
|
|
(b) Damages awarded in an adjudication brought against a |
|
|
state agency arising under a contract subject to this chapter may |
|
|
not include: |
|
|
(1) consequential damages, except as expressly |
|
|
allowed under Subsection (a)(1); |
|
|
(2) exemplary damages; or |
|
|
(3) damages for unabsorbed home office overhead. |
|
|
SECTION 3. Chapter 114, Civil Practice and Remedies Code, |
|
|
as amended by this Act, applies only to a claim arising under a |
|
|
contract executed on or after the effective date of this Act. A |
|
|
claim that arises under a contract executed before the effective |
|
|
date of this Act is governed by the law applicable to the claim |
|
|
immediately before the effective date of this Act, and that law is |
|
|
continued in effect for that purpose. |
|
|
SECTION 4. This Act takes effect September 1, 2019. |