Texas Property Code 5.0145 – Suits for Damages
Current as of: 2024 | Check for updates
|
Other versions
(a) If any sale or conveyance of real property within a public improvement district is not made in compliance with § 5.014, 5.0141, 5.0142, or 5.0143, the purchaser may institute a suit for damages under the provisions of Subsection (b) or (e).
(b) A purchaser of real property whose sale or conveyance is subject to the notice requirement under § 5.014, if the sale or conveyance of the property is not made in compliance with that section or § 5.0141, 5.0142, or 5.0143, may institute a suit for damages in the amount of all costs relative to the purchase of the property at the time of purchase, plus interest and reasonable attorney’s fees.
Terms Used In Texas Property Code 5.0145
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Deed: The legal instrument used to transfer title in real property from one person to another.
- Lien: A claim against real or personal property in satisfaction of a debt.
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- Person: includes corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, and any other legal entity. See Texas Government Code 311.005
- Property: means real and personal property. See Texas Government Code 311.005
- Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
- Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
(c) The suit for damages under Subsection (b) may be instituted jointly or severally against the person, firm, corporation, partnership, organization, business trust, estate, trust, association, or other legal entity that sold or conveyed the property to the purchaser.
(d) Following the recovery of damages under Subsection (b), the amount of the damages shall first be paid to satisfy all unpaid obligations on each outstanding lien on the property and the remainder of the damage amount shall be paid to the purchaser. On payment of all damages respectively to the lienholders and purchaser, the purchaser shall reconvey the property to the seller.
(e) A purchaser of real property whose sale or conveyance is subject to the notice requirement under § 5.014, if the sale or conveyance of the property is not made in compliance with that section or § 5.0141, 5.0142, or 5.0143, may institute a suit for damages in an amount not to exceed $5,000, plus reasonable attorney’s fees.
(f) A purchaser is not entitled to recover damages under both Subsections (b) and (e), and entry of a final decision awarding damages to the purchaser under either Subsection (b) or (e) shall preclude the purchaser from recovering damages under the other subsection.
(g) The relief provided under Subsections (b) and (e) shall be the exclusive remedies for a purchaser aggrieved by the seller’s failure to comply with the provisions of § 5.014, 5.0141, 5.0142, or 5.0143.
(h) An action for damages does not apply to, affect, alter, or impair the validity of any existing vendor’s lien, mechanic’s lien, or deed of trust lien on the property.
(i) A suit for damages under this section must be brought not later than the earlier of:
(1) the 90th day after the date the purchaser receives the first public improvement district annual assessment installment or tax notice; or
(2) the fourth anniversary of the date the property is sold or conveyed to the purchaser.
(j) Notwithstanding a provision of this section, a purchaser may not recover damages under this section if the purchaser:
(1) purchases an equity in real property and in conjunction with the purchase assumes any liens, whether purchase money or otherwise; and
(2) does not require proof of title by abstract, title policy, or any other proof of title.
(k) A purchaser who purchases real property in a public improvement district and who then sells or conveys the property shall on closing of the subsequent sale or conveyance be conclusively considered to have waived any prior right to damages under this section.