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TX HB2960

TX HB2960
Relating to choice of law and venue for certain construction contracts.


summary

Introduced
02/18/2025
In Committee
05/15/2025
Crossed Over
04/29/2025
Passed
06/20/2025
Dead
Signed/Enacted/Adopted
06/20/2025

Introduced Session

89th Legislature Regular Session

Bill Summary

AN ACT relating to choice of law and venue for certain construction contracts.

AI Summary

This bill modifies Texas law regarding choice of law and venue provisions in construction contracts, strengthening protections for contractors working in Texas. Specifically, the bill renders void any contract provisions that require construction disputes to be resolved under another state's laws, litigated in courts outside of Texas, or arbitrated in another state, declaring such provisions contrary to public policy. Furthermore, if a venue provision is deemed void, any resulting legal action must be brought in the Texas county where the property subject to the litigation is located, unless the parties mutually agree to a different venue after a dispute arises. The changes only apply to contracts entered into or renewed on or after September 1, 2025, which is the bill's effective date. By making these modifications to the Business & Commerce Code and Civil Practice and Remedies Code, the bill aims to ensure that construction contract disputes involving Texas properties are resolved under Texas law and in Texas courts, protecting the interests of local contractors and project participants.

Committee Categories

Government Affairs, Justice

Sponsors (8)

Last Action

Effective on 9/1/25 (on 06/20/2025)

bill text


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