86R16328 AJA-F
 
  By: Leman H.B. No. 4219
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the enforceability of certain contracts to acquire real
  property for a high-speed rail project.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter B, Chapter 112, Transportation Code,
  is amended by adding Section 112.0535 to read as follows:
         Sec. 112.0535.  CONTRACT TO ACQUIRE REAL PROPERTY UNDER
  FALSE REPRESENTATION OF EMINENT DOMAIN AUTHORITY. (a)  In this
  section, "high-speed rail" has the meaning assigned by Section
  112.201.
         (b)  A contract to acquire real property entered into by an
  entity proposing to build a high-speed rail project is voidable by
  the property owner if:
               (1)  before the execution of the contract, the entity
  represented to the property owner that the entity had the authority
  to acquire the property through eminent domain; and
               (2)  after the execution of the contract, a court
  enters a final judgment declaring that the entity does not have
  eminent domain authority.
         (c)  A property owner who voids a contract under this section
  is entitled to retain any money paid by the entity to the property
  owner before the contract is voided.
         (d)  Not later than the 90th day after the date of the final
  judgment described by Subsection (b)(2), the entity that is subject
  to the final judgment shall provide written notice by certified
  mail to each property owner with whom the entity entered into a
  contract described by Subsection (b) informing the property owner
  of the property owner's right to void the contract.
         (e)  To void a contract under this section, a property owner
  must, not later than the 120th day after the date the property owner
  receives the notice required by Subsection (d), provide notice to
  the entity that the property owner is voiding the contract.
         (f)  An entity subject to a final judgment described by
  Subsection (b)(2) may not exercise the entity's rights under a
  contract described by Subsection (b) before the expiration of the
  120-day period provided by Subsection (e).
         SECTION 2.  This Act takes effect September 1, 2019.