With the passing of HB 2237 in the past Legislative session, impactful changes to Texas mechanics’ lien laws, found in Chapter 53 of the Texas Property Code, will go into effect for construction contracts entered into on or after January 1, 2022. Below are some, but not all, of the revisions to Chapter 53.

§ 53.003

If the deadline for providing statutory notice falls on a Saturday, Sunday or legal holiday, the period now extends to the next day that is not a Saturday, Sunday, or legal holiday.

§ 53.021

Removes the requirement that an architect, engineer or surveyor provide services “under or by virtue of a contract with the owner or the owner’s agent, trustee, or receiver” to be entitled to a lien.

Practically speaking, subcontractors and sub-consultants to architects, engineers, and surveyors are now entitled to a lien.

§ 53.056

Subcontractors of any tier must send notice to both the original contractor and the owner no later than the 15th day following the third month after each month labor or materials are supplied to the project at the property. Previously, second-tier subcontractors and suppliers and below were required to send a “third-month” notice and a “second-month” notice.

Includes a new statutory notice form that must be used for the notice.

§ 53.158

As amended, the deadline to foreclose a mechanic’s lien under the Texas Mechanic’s Lien Statute for a commercial, private construction project is one year from the last day a lien claimant could timely file a lien affidavit under Section 53.052.

The parties may agree to extend that deadline, but it may not be extended past the second anniversary of the lien filing deadline, and any agreement to extend the deadline must be in writing, be entered into before the first anniversary of the lien filing deadline, and must be recorded with the County Clerk where the lien is recorded.

§ 53.106 and § 53.107

Owners cannot shorten the deadline for a lien claimant to file a lien affidavit; the deadline imposed under Section 53.052 is now controlling.

Previously, under Section 53.106 of the Texas Mechanic’s Lien Statute, the owner of a project could file an affidavit of completion, provide notice to the general contractor and subcontractors, and generally insist that those receiving the notice file their lien affidavits within forty days after the date of completion, regardless of when their work was completed. Also, previously under Section 53.107, the owner could give notice to subcontractors that the general contractor was terminated or abandoned the project and insist the subcontractors file their lien affidavits within forty days after the date of the termination or abandonment. These Owner-notices to shorten lien recording deadlines are now obsolete.

§ 53.284

Statutory conditional and unconditional lien waivers need not be notarized to be effective.

Note: All county recording offices are different – in the absence of notarization, such a waiver and release may not be suitable for recording with the specific County Clerk’s office, which requires notarization. Nothing in the amendments prohibit requiring notarization; they just remove the statutory requirement that they be notarized to be effective.

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