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A BILL TO BE ENTITLED
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AN ACT
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relating to certain protections for owners in a property owners' |
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association. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 209.005(o), Property Code, is amended to |
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read as follows: |
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(o) A party that [If the property owners' association] |
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prevails in an action under Subsection (n)[, the association] is |
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entitled to a judgment for court costs and attorney's fees incurred |
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by the party [association] in connection with the action. |
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SECTION 2. Chapter 209, Property Code, is amended by adding |
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Section 209.018 to read as follows: |
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Sec. 209.018. WITHHOLDING OF ASSESSMENTS BY PROPERTY OWNER. |
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(a) Notwithstanding a provision in a dedicatory instrument or |
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other law, if a property owner brings an action against a property |
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owners' association, the property owner may withhold assessment |
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payments while the action is pending. |
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(b) If a property owners' association prevails in an action |
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brought by a property owner, the property owner shall pay all |
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assessments withheld under Subsection (a) and resume assessment |
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payments. |
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(c) A property owners' association may not file a suit to |
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collect assessments withheld under Subsection (a) against an owner |
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who prevails in an action against the property owners' association. |
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SECTION 3. Section 209.005, Property Code, as amended by |
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this Act, and Section 209.018, Property Code, as added by this Act, |
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apply only to an action filed on or after the effective date of this |
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Act. An action filed before the effective date of this Act is |
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governed by the law in effect on the date the action was filed, and |
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the former law is continued in effect for that purpose. |
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SECTION 4. This Act takes effect September 1, 2025. |